PROFESSIONAL LIABILITY

Our consultants have more than 20 years of professional liability insurance consulting experience involving both private insurance companies and insurance regulatory bodies in numerous states.  We have provided actuarial consulting to more than 12 professional liability entities including insurers, regulators, self insureds, captive, and RRGs.

Professional Liability Lines Served

• Agents (insurance, other)
• Allied Medical
• Architects & Engineers
• Assisted Living/Senior Care
• Attorneys
• Critical Access Hospital
• Medical Malpractice
• Miscellaneous Professional

Insurance Company Experience

• Reviewing reserves and estimating loss ratios for rate change purposes.
• Recommendations to management re: increasing/eliminating classes of business.
• Developing professional liability programs.
• Assisting insurance carriers expand into new states.
• Product development, rate analysis, and pricing including pricing of ancillary coverages.
• Rate filing support and regulatory compliance assistance.
• Analyses of loss and loss expense reserves.
• Providing statutory statements of actuarial opinion.
• Modeling impact of potential policy coverage changes.
• Guidance in rating and underwriting large accounts.
• Developing an insurer-specific model for establishing the unpaid earned premium reserve for death, disability, and retirement extended reporting endorsements.

During these engagements, we have worked with both claims made and occurrence forms of coverage.  In addition, we follow developments in state laws related to arbitration and other key characteristics of the tort environment related to PL issues.

Regulatory/Quasi-Regulatory Experience

Our knowledge of the medical professional liability industry is augmented by our in-depth understanding of the regulatory aspects of this exposure.  Our work on this side of the industry includes:

• Financial examinations involving PL
• PL rate filing reviews for various state insurance departments.
• Expert testimony at professional liability rate hearings.
• Assistance to the IRS in a tax case related to the appropriateness of medical malpractice premiums being charged.
• Performing studies for insurance commissioners in Mississippi and Wyoming related to the possible formation of medical professional liability joint underwriting associations.
• Assisting the Wisconsin insurance department with an audit of that state’s patient compensation fund.
• Rate and reserve work for two South Carolina medical malpractice entities: South Carolina Joint Underwriting Association, South Carolina Patients Compensation Fund.
• Assisting the West Virginia Offices of the Insurance Commissioner and the Governor’s office on how to alleviate medical malpractice issues in that state.

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