R. Austin Wallace, MD
Chairman, President and CEO

Letter from the ChairmanWinter 2017

"Unprecedented"

The success of your West Virginia Mutual Insurance Company over its 12 ½ years of operation has allowed something to occur in West Virginia on multiple occasions that is unique. Never before has any previous or current medical professional liability insurance company paid dividends to its West Virginia insured physicians. However, we Mountain State physicians have enjoyed the great pleasure of receiving such dividend checks from our Mutual on several occasions. A total of almost $15 million has been returned to our policyholders/owners since 2013. This is unheard of in our state! It is certainly a nice change for us physicians to receive this financial benefit rather than out – of – state stockholders, as has often been the case with other companies, both past and present. These dividends are in addition to the significant reductions in premium our policyholders have enjoyed since our inception, anywhere from 30 to 50% depending on our individual specialty. Together we are an incredible team.

We are passionate about our Mission: “…to provide professional liability insurance to healthcare providers on a sound and enduring basis.” Over the past twelve years, we have solidified the financial integrity of your Mutual and have accumulated almost $100 million in policyholder surplus. This strong financial position allows the Mutual to provide our physician owners with outstanding value-added products and services at the lowest sustainable price. We are much more than a commodity. Understanding the current competitive environment and our Mission, your physician-led Board of Directors chose to pay dividends in 2016. They recognized the loyalty you have shown to your company and wanted to reward you for your commitment.

Your Mutual remains the preeminent medical professional liability insurer in West Virginia, insuring over 60% of state physicians who purchase such insurance. We all know that there is an extremely strong trend for physicians to seek and accept employment by hospitals and hospital systems. To adapt to this trend, WVMIC now has a hospital professional liability insurance program to accommodate hospitals that employ physicians. To accomplish this, we partnered with MagMutual through its subsidiary Professional Security Insurance Company. Mag is domiciled in Georgia and, like your Mutual, is physician-led and physician-focused. This partnership allows us to potentially offer HPL insurance to even the largest hospitals in West Virginia. As a native West Virginian who spent my entire career as a physician here in West Virginia, it is very gratifying that we have been able to form and grow a company that now is extremely financially secure. You can rest assured that our Mutual will be here for the long-term. We will not cut and run when the medical liability lawsuit climate worsens, as has always been the case with out-of-state insurance companies in the past. We are Physicians Insuring Physicians.

We are: Physicians Insuring Physicians.

Sincerely,
R. Austin Wallace, M.D.