Medical Professional Liability Writer PPIC Names CFO as New CEO

Preferred Professional Insurance Co. has named Chief Financial Officer Lynnette Matza as the medical professional liability insurer's new chief executive officer, replacing T.J. McKivergan, who will retire.

"I've been here 11 years, and she's had an office next to me the entire time," McKivergan said. "There won't be any great dramatic changes taking place."

Matza will step into the CEO role effective Jan. 1. McKivergan, 65, will remain "of counsel" through March to ensure a smooth transition, he said.

Matza joined PPIC at its inception as controller. She became vice president of finance in 1991, CFO in 2001 and senior vice president and CFO in 2004. McKivergan, an attorney with a background in health care administration, highlighted Matza's strong insurance background as a key asset.

"She's a very sharp insurance person," McKivergan said. "Lynnette's role has been more in the traditional risk-management side."

Founded in December 1987, PPIC is owned by a nationwide network of Catholic health care owner systems. It specializes in medical liability insurance for physicians associated with those centers. Since McKivergan became CEO in 1999, it grew from a $64 million company to a $370 million company, PPIC announced.

PPIC currently insures more than 6,200 of the approximately 75,000 physicians on staff or otherwise affiliated with the owner facilities, according to BestLink, which provides online access to A.M. Best's Global Insurance & Banking Database. The company shareholders represent more than 400 acute care hospitals, which represent approximately 75% of the Catholic hospitals in the country, in addition to more than 300 long-term care facilities.

PPIC conducted a nationwide search that narrowed a candidate pool from 15 to three before selecting Matza, McKivergan said.

Preferred Professional Insurance Co. has a Best's Financial Strength Rating of A- (Excellent).

(By Sean P. Carr, Washington Correspondent: sean.carr@ambest.com)