State of the medical professional liability market

The year 2019 marked a turning point for the medical professional liability (MPL) insurance industry. Reserve releases declined to less than 5% of premium. Insurers projected a combined ratio over 120% on 2019 earned business. Frequency increased for many writers and the trend in indemnity severity was above inflation. In response, insurers began to take […]

Midyear 2018 financial results for composite of medical professional liability specialty writers

In this article, Milliman’s Eric Wunder and Brad Parker summarize some key financial results for a composite of medical professional liability specialty writers through the second quarter of 2018. The 12-year decline in direct written premium finally reversed course in the first quarter of 2018 and second quarter premium levels have followed suit. The composite […]

2017 year-end financial results for medical professional liability specialty writers show continued profitability

In 2017, the medical professional liability market experienced another profitable year—with increases in net income and surplus relative to 2016, driven by promising investment performance. Favorable reserve development on prior coverage years still contributes a large portion to the healthy bottom line, as it has for more than a decade, and the decline in direct […]

Midyear 2017 financial results for medical professional liability specialty writers

This article by Milliman consultants Eric Wunder and Brad Parker summarizes some key financial results for a composite of medical professional liability specialty writers through the second quarter of 2017. The decline in premium isn’t slowing down, and favorable reserve runoff from prior years is providing less financial relief. Future investment results look promising. This […]

First quarter financial results for medical professional liability specialty writers

This article by Milliman’s Eric Wunder and Brad Parker summarizes key financial results for medical professional liability writers from the first quarter of 2017. First-quarter premiums declined for the 11th consecutive year, dropping below the $2 billion mark for the first time since 2002. The 3.1% decrease relative to Q1 2016 is consistent with the […]