Regulation of Lancet Indemnity RRG by Nevada Raises Questions and Concerns.
From the 2018 November Risk Retention Reporter
MLMIC Demutualization Illustrates Concerns NYDFS has with RRGs
MLMIC Insurance Company (MLMIC), formerly the Medical Liability Mutual Insurance Company, has completed its conversion from a property and casualty mutual insurance company to a property and casualty stock insurance company. That process, known as demutualization, and MLMIC’s request to undergo said process was the subject of a hearing at the New York Department of Financial Services (NYDFS). Documents from the decision to approve the demutualization provide insight into the concerns the NYDFS has regarding risk retention groups...
RRG Premium Growth in New York Driven by Sponsored RRGs
In hearings on the demutualization of MLMIC Insurance Company, the New York Department of Financial Services (NYDFS) expressed concerns over the operation of Healthcare RRGs operating in the state, stating that “to the extent New York’s medical malpractice market is challenged, it is so because of the increase in writing by RRGs and excess lines insurers that elude much of state regulation and oversight.” Risk retention group premium in the state has indeed increased since 2014; however most of that growth can be attributed to risk retention groups sponsored by traditional med mal carriers, or to RRGs that have successfully operated in the state for well over a decade...
Healthcare RRG Struggles Noted in A.M. Best Impairment Report
A.M. Best recently published Special Report: 2017 Property/Casualty Impairments Update, a report that examines trends in impairments for the property/casualty industry. The report finds that risk retention groups have shown a trend in increased impairments, particularly in the Healthcare sector...
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RRGs & PGs
Preferred Property Program, Inc.