ProAssurance (PRA) has announced an agreement for the acquisition of Medmarc, a mutual company focused on the life science industry. Both boards have approved the merger but the demutualization of Medmarc must be approved by eligible members.
The deal will potentially bring an AM Best “A” rating to Medmarc and additional diversification for both companies. In the 12 months ending March 31st ProAssurance had $575.3M in Gross Written Premium while Medmarc had $40.5M.
Calculated Risk Advisors provides in depth financial analysis of insurance companies to clients. They strongly advise insureds to avoid companies who concentrate in one area of risk as the correlation of losses is generally underestimated by rating agencies.