MLMIC Agrees to Join Berkshire Hathaway Family of Companies
UPDATE: As of October 2, 2018, the closing of the transaction with Berkshire Hathaway has been finalized. Please visit the official announcement to read about the closing or click here for additional details.
We want you to be among the first to know our latest good news: MLMIC has entered into a definitive agreement to be acquired by National Indemnity Company, a subsidiary of Berkshire Hathaway. You’ll find the official press release below.
New York’s Top Medical Liability Insurer Agrees to Join Berkshire Hathaway Family of Companies
Medical Liability Mutual Insurance Company (“MLMIC”), the largest underwriter of medical professional liability insurance in New York, announced today that it has entered into a definitive agreement, pending regulatory and policyholder approval, to be acquired by National Indemnity Company, following the completion of the conversion of MLMIC to a stock company from a mutual company. National Indemnity Company is a subsidiary of Berkshire Hathaway Inc., one of the world’s leading insurance organizations. The transaction is expected to close in the third quarter of 2017, subject to customary closing conditions and regulatory approvals. “Good things are worth waiting for,” said Berkshire Hathaway CEO Warren Buffett.
Mr. Buffett further stated, “MLMIC is a gem of a company that has protected New York’s physicians, mid-level providers, hospitals and dentists like no other for over 40 years. We welcome the chance to add them to the Berkshire Hathaway family and enhance their capacity to serve these and other policyholders for many years to come.”
“We are delighted to partner with such a fine organization. MLMIC has always had strong standing and stability within the challenging New York insurance market, and the arrangement with Berkshire Hathaway will bring policyholders further peace of mind, knowing MLMIC will be able to offer an even higher level of financial security. In addition, MLMIC will be able to expand its offerings, with more customized policy limits, risk-sharing features and services to groups, facilities and other large accounts,” said MLMIC President Robert Menotti, MD. In a letter to policyholders, Menotti said, “Berkshire Hathaway values our operations, board, staff and endorsed partners. Most importantly, Berkshire Hathaway is committed to MLMIC’s future success and its ongoing dedication to serving policyholders.”
Keefe, Bruyette & Woods, a Stifel Company, served as financial advisor and Willkie Farr & Gallagher LLP served as legal counsel to MLMIC in this transaction.
About Medical Liability Mutual Insurance Company (MLMIC)
Based in New York, New York, Medical Liability Mutual Insurance Company began operations in 1975. The company predominantly underwrites professional liability insurance in New York. As of December 31, 2015, MLMIC policyholders’ surplus was approximately $1.8 billion. MLMIC can be found on the internet at http://www.mlmic.com/.
About National Indemnity Company
National Indemnity Company is one of the leading property/casualty members of the Berkshire Hathaway group of insurance companies, with the highest possible financial strength rating by A.M. Best. Located in Omaha, Nebraska, National Indemnity Company offers the kind of stability that (re)insureds can rely upon. National Indemnity Company can be found on the internet at http://www.nationalindemnity.com/.