Medical Mutual of Ohio Acquires Majority Stake in Employee Benefits Broker

Copyright 2008 A.M. Best Company, Inc.All Rights Reserved BestWire

May 21, 2008 Wednesday 11:30 AM EST

182 words

Medical Mutual of Ohio Acquires Majority Stake in Employee Benefits Broker

Alyn Ackermann

CLEVELAND

Medical Mutual of Ohio has acquired a majority interest in Employers Select Plan Agency Inc., a wholesale broker that markets and services employee benefits plans, ESPA said.

Senior mangers of ESPA first purchased the majority interest of National Financial Partners, and then completed the transaction with Medical Mutual, the company said.

Terms of the transactions were not disclosed. Both companies are based in Cleveland.

ESPA markets its products through independent insurance agents and benefits advisers in Ohio.

According to an A.M. Best Credit Report, Medical Mutual is a not-for-profit mutual casualty insurer. It owns Medical Health Insuring Corporation of Ohio, a for-profit health maintenance organization that provides health insurance, including coverage to federal employees under the Federal Employees Health Benefits Program, and health care management, primarily in Ohio.

Medical Health Insuring Corporation of Ohio currently has a Best's Financial Strength Rating of B+ (Good, based on public data).

(By Alyn Ackermann, senior associate editor, BestWeek: [email protected])

May 22, 2008