HARTFORD, Conn., Nov. 8 /PRNewswire-USNewswire/ -- The Connecticut
Trial Lawyers Association (CTLA) today released a new actuarial analysis
revealing that, for several years Connecticut Medical Insurance Company
(CMIC) has been charging doctors excessive premiums causing their overhead
to soar and, needlessly contributing to the growing cost of Connecticut
The analysis, prepared by AIS Risk Consultants, a New Jersey
independent actuarial firm, is based on the most recent financial reports
filed by CMIC with state regulators.
The analysis shows, that from January 1, 2004 through June 2007, CMIC
reported net income after taxes of $51.4 million. These profits were over
40% of the net premium CMIC earned from the premiums charged doctors during
that time period.
"It's long past time for Connecticut doctors to put aside their
distrust of trial lawyers and conduct their own review of CMIC's excessive
profits," said Joseph Mirrione, CTLA President. "At least one company
(ProMutual) has chosen to seek a reduction in the premiums it charges
doctors. In marked contrast, CMIC's refusal to lower its inflated rates has
resulted in Connecticut physicians funding the excessive and growing
profits of CMIC -- from $7.6 million in 2004, to $10.9 million in 2005, and
$24.5 million in 2006."
"This behavior does nothing more than add to the already inflated
overhead doctors must bear and needlessly drives up the cost of Connecticut
health care," Mirrione continued.
The analysis also includes details of a decline in CMIC's unpaid losses
and loss adjustment expenses (legal and claim adjustment expenses) which
indicates that the reserves the company has established are inflated and
were much more than sufficient to pay actual losses and expenses.
A copy of this press release and link to actuarial report can be found
at the following address:
The Connecticut Trial Lawyers Association is a nonprofit association
dedicated to creating and maintaining a more just society by preserving
individuals' rights and ensuring that the Civil Justice system works for
SOURCE Connecticut Trial Lawyers Association