SOURCE: ProMutual

ProMutual

September 01, 2009 10:07 ET

ProMutual Completes Acquisition of FinCor Holdings, Inc.

BOSTON, MA--(Marketwire - September 1, 2009) - Medical Professional Mutual Insurance Company ("ProMutual"), a leading provider of medical liability insurance and member of ProMutual Group, announced today that it has completed its acquisition of medical liability insurer and integrated risk management company FinCor Holdings, Inc. ("FinCor") and its subsidiaries. The transaction was approved by the Michigan Office of Financial and Insurance Regulation, the Washington State Office of the Insurance Commissioner and the FinCor shareholders.

With its acquisition of Lansing, Michigan, based FinCor, ProMutual will add MHA Insurance Company ("MHAIC"), Washington Casualty Company ("WCC"), FinCor Solutions, The Risk Management and Patient Safety Institute, Inc. ("RM&PSI") and Capital Risk Solutions, SPC to its organization's roster. Through its MHAIC and WCC subsidiaries, FinCor is one of the leading providers of medical liability insurance in the Midwest and Pacific Northwest, insuring more than 250 hospitals and healthcare facilities and 5,000 physicians in 11 states. The RM&PSI is a nationally recognized leader in clinical risk management education.

ProMutual Group, one of the top 10 medical liability insurance providers in the country and the largest in the Northeast, views the acquisition as a culmination of the organization's focus on measured, responsible growth both organically and through acquisition as well as through the expansion of its services and resources.

"We are pleased with the acquisition of FinCor and its subsidiaries," said Richard W. Brewer, president and CEO of ProMutual Group. "As we look ahead, we are committed to maintaining the momentum that FinCor has developed, while continuing to be a trusted provider of medical liability insurance for FinCor policyholders in all 11 states. Based on our history, policyholders can trust that ProMutual Group is a long term provider of medical liability insurance with demonstrated dedication to each state it has entered. We look forward to providing the highest level of service, for which ProMutual Group is known, to healthcare providers across these territories."

A.M. Best Company announced in June that the financial strength rating (FSR) of A- (Excellent) and the issuer credit rating "a-" for ProMutual Group will remain unchanged as will the FSR of A- (Excellent) for MHAIC and the FSR of B+ (Good) for WCC. ProMutual intends to preserve the FinCor-affiliate brands and operate FinCor as an independent subsidiary of ProMutual.

"ProMutual Group's financial strength and excellent resources and services are a great addition to the available assets FinCor policyholders rely upon," said Thomas F. Dickinson, president and CEO of FinCor. "With ProMutual's commitment to the continuity of existing personnel and relationships, we are eager to build upon our current success and grow with ProMutual Group's reinforcement and support."

For more information about ProMutual's acquisition of FinCor, or to request an interview, contact Nina Akerley at nakerley@promutualgroup.com or (617) 946-8665. You may also visit ProMutual Group's web site at www.promutualgroup.com.

About ProMutual Group

ProMutual Group is one of the leading providers of medical liability insurance in the Northeast, insuring more than 17,000 physicians, surgeons, and dentists as well as a large number of hospitals, health centers and clinics. It is one of the top 10 medical liability insurance providers in the country based on direct written premium according to Best's Review, August 2008. ProMutual Group has in excess of $2.2 billion in net admitted assets, more than $600 million in policyholder surplus and over $300 million in direct written premium as of 2008. ProMutual Group has a Best's Rating of A- (Excellent), and is acknowledged as a leader in providing risk management and claim services to the healthcare community.

Based in Massachusetts, ProMutual Group member companies also operate in Connecticut, Maine, New Hampshire, New Jersey, Pennsylvania, Rhode Island and Vermont. Member company ProSelect Insurance Company also recently became licensed in Virginia and North Carolina. ProMutual Group distributes its products through independent agents. For more information, visit ProMutual Group's website at www.promutualgroup.com.

About FinCor Holdings

Through its subsidiaries -- FinCor Solutions, The Risk Management and Patient Safety Institute, MHA Insurance Company, Washington Casualty and Capital Risk Solutions, SPC -- FinCor provides industry-leading insurance products and support services including medical liability insurance, workers compensation insurance and clinical risk management solutions to clients nationally. In 2008, FinCor reported annual revenues of $97.2 million, and $17 million in net income which represented an increase of 12 percent over 2007 net income. The company's insurance subsidiary, MHAIC, has maintained a 15-year Best's Rating of A- (Excellent), a mark of the company's financial strength. WCC, FinCor's Pacific Northwest medical liability insurer, which it acquired in 2006, has a Best's Rating of B+ (Good).

With its years of experience focusing on financial loss protection and clinical risk reduction, FinCor has built an outstanding reputation for serving the needs of the healthcare industry. For more information, visit www.fincorholdings.com.

Contact Information

  • Media Contact:
    Nina Akerley
    (617) 946-8665