MMIC Completes Purchase of Utah Medical Insurance Association [Health & Beauty Close – Up]

MMIC said that it has finalized the transaction to acquire Utah Medical Insurance Association.

The deal took effect June 30. Through this transaction, UMIA becomes a subsidiary of MMIC.

In a release, the Company said that the deal expands its geographic footprint to four additional states: Idaho, Utah, Montana and Wyoming, and expands UMIA's portfolio of products to hospitals, long-term care facilities and large health systems.

According to MMIC president and CEO Bill McDonough, the deal is symbiotic. "There are benefits to this merger on both sides," he said. "In financial terms, our combined surplus will benefit us both, as will the benefits derived from added scale and efficiency." The combined company surplus is estimated at more than $350 million, and net written premium, premium-to-surplus ratio and loss ratio will improve, increasing the financial stability for both organizations.

McDonough said he anticipates a smooth integration due to the similar nature of the two companies. "We are both policyholder- owned companies with the same mission: to offer products and services that improve patient care," he said.

UMIA has provided medical professional liability insurance for physicians, clinics and hospitals since its formation in 1978.</p>

MMIC is a policyholder-owned medical liability insurance (medical malpractice) company in the Midwest. We serve the entire health care community, including large hospitals and health care systems, physician practices, outpatient and long-term care facilities.

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