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FOR IMMEDIATE RELEASE
OLDWICK - JULY 21, 2016 10:16 AM (EDT)
A.M. Best has affirmed the financial strength rating of A++ (Superior) and the issuer credit rating of “aa+” of the members of MedPro Group (MedPro) (headquartered in Fort Wayne, IN).
These ratings apply to The Medical Protective Company (Fort Wayne, IN), its affiliates, Princeton Insurance Company (Princeton, NJ) and PLICO, Inc. (Oklahoma City, OK), and its two reinsured affiliates, MedPro RRG Risk Retention Group and AttPro RRG Reciprocal Risk Retention Group (both domiciled in the District of Columbia). The outlook for each rating is stable.
These ratings reflect MedPro’s excellent balance sheet strength, its favorable long-term operating performance and the significant market position it maintains in the medical professional liability sector. The ratings also consider the group’s substantial distribution capabilities and prudent claims handling philosophy. Furthermore, these ratings continue to benefit from the implicit and explicit support provided by MedPro’s ultimate parent, Berkshire Hathaway Inc. (Berkshire) [NYSE: BRK.A and BRK.B], which includes reinsurance programs, investment opportunities and capital support.
Partially offsetting these positive rating factors are the inherent challenges associated with being a mono-line medical professional liability insurer, particularly as it relates to price competition, changing market dynamics, potential changes in legislative (tort) reform, increasing loss cost trends and regulatory challenges. At the same time, A.M. Best recognizes the organization’s strong management team, broad premium base and jurisdictional diversity that somewhat mitigate these concerns.
This press release relates to rating(s) that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page.
A.M. Best is the world’s oldest and most authoritative insurance rating and information source.