Medical Malpractice Insurance Company | STRATEGIC ADVISORY

Engagement

Strategic Advisory

Frontier’s client, a medical malpractice insurance company, sought advice and services to optimize its strategic corporate objectives

CLIENT

The client is a professional liability insurance company for physicians and other healthcare providers, providing primarily medical malpractice insurance within certain jurisdictions, along with a small percentage of casualty and other liability insurance. Establishing a stellar reputation, the client thrived as a financially secure, operationally sound, tireless advocate of healthcare professionals. Despite being meaningfully outsized by the industry’s largest players, the client became a thought-leader for the industry for its approach to being pro-healthcare professional in the defense of claims and being unrelentingly proactive in advocacy, education, and loss prevention. The client’s success presented the organization with the opportunity to reinvest in the healthcare industry in a manner benefitting healthcare professionals and the patients they serve. Accordingly, an affiliate of the client developed a doctor-led solution to drive improvement in patient outcomes, productivity, and financial performance of value-based payment programs.

SITUATION

In building its success, our client had consistently received unsolicited acquisition inquiries from the largest medical malpractice insurance companies in the market, when the creativity of the unsolicited offers compelled our client’s Board of Directors to investigate further.

RESULTS

The client engaged Frontier to explore its strategic alternatives in light of our client’s corporate objectives, which led to (among other things) a targeted, highly-orchestrated sale process. Leveraging our client’s thought-leading status, the process drew immediate interest from the nation’s largest medical malpractice firms, eventually producing compelling offers. After selecting from the process the most attractive offer from its best-fit partner, our client ultimately determined that not selling the business and pursuing the business’ existing growth strategy was the client’s most attractive option to fulfill its corporate objectives and the objectives of the client’s owners.