News that the doctor’s company spends $ 1.3 billion to buy pro -assurance and to take the specialty … More
News that the doctor’s company publishes $ 1.3 billion To buy pro -assurance And take the specialty medical insurer private from a sign of more consolidation at companies in the sale of the sale of medical malpractice.
The proposed purchase of the doctor’s company comes with rising healthcare costs and a wave of consolidation and buyouts among doctors’ practices of all sizes. The doctor’s company is One of the greatest providers of doctors From medical coverage in the country and will broaden his position as a more diversified partner for doctors and healthcare systems, analysts say.
“The acquisition will increase the scale of the doctor’s company and strengthen its position as a leading medical professional liability insurance insurance policy,” Fitch ratings said in a report that the deal analyzedThis is expected to close in the first half of 2026 pending the regulations.
Conditions of the Deal Call For pro -assurance shareholders to receive $ 25 in cash per share, which represents a premium of around 60% for the final race per share of the ordinary shares of Pro -Assking on March 18, which was the last day of trade on the New York Stock Exchange prior to the announcement of the deal. The transaction was appreciated at $ 1.3 billion.
The top manager of the Doctors Company recognized the need to close a deal to grow in the current consolidating health care industry.
“Healthcare is a team sport and the teams are getting bigger,” says Dr. Richard E. Anderson, chairman and Chief Executive Officer of the Doctors Company. “To offer them the best conceivable service, a shipment-based company with a national scale, resources and dedication to all medical professions and care providers requires. The addition of pro-assessment to the doctor’s company improves our ability to serve health workers now and far into the future.”
Certainly, most doctors who come from the residence do not buy their own medical coverage for malpractice because they are going to work for someone else, whether it is a hospital or health system or medical group. The larger entities therefore offer the coverage of malpractice.
In the meantime, where physician practice also changes rapidly as hospitals and health systems merge and other entities try to buy and consolidate doctors, whether they are large retailers or private equity companies
The combination of the doctor’s company and pro-assurance hopes to draw doctors, given their old ties with doctors and doctor’s ownership.
“Both Pro -Accurance and the Arts Company were founded by doctors in response to the medical liability crisis of the 1970s,” said Proassurance President and Chief Executive Officer Ned Rand.
“Both companies have grown over the years by bringing together other companies founded by doctors,” Rand added. “This shared history has helped both companies to fulfill our shared mission to protect others and to give us similar operational philosophies and cultures. By bringing together the strengths and possibilities of our companies, our teams can continue to serve the current care providers with the necessary scale and width of possibilities.”