Health co-op plans to sell to investors, convert to for-profit
A health insurance co-op is to change its status by selling to a group of investors and becoming a for-profit business.
Evergreen Health in Baltimore was formed under the Affordable Care Act but like most of the sector across the US it has been hit by the risk adjustment payments to the government, reversing the fortunes of a previously profitable insurer.
Evergreen’s CEO Dr Peter Beilenson said Monday that it will be acquired by a consortium of investors, who have not been named. The deal is expected to close in the first quarter of 2017 subject to approval.
"It's not that we're a failure — we did what we could to survive," Beilenson told The Baltimore Sun. "It's that this risk adjustment basically forced our hand."
He added that he was confident that the change in status would not impact customers experience of the insurer and that its day to day operations would be largely unchanged.
Brightway hits $425 million milestone
National property/casualty franchise network Brightway Insurance has reached $425 million in annualized written premium, a new milestone for the company.
The Jacksonville, FL based firm began franchising through independent agencies in 2008 and this year alone has grown its book of business by $30 million.
“Our organization of more than 750 insurance professionals benefits from hundreds of people at our Home Office who provide turnkey support to our agency owners and our customers,” said Brightway Founder and Chairman David Miller.
The firm is celebrating its employees and their contribution to agency owners and customers this week.
Thompson stays in top job at RSA Canada
RSA Canada has appointed Martin Thompson to the role of president and chief executive with immediate effect succeeding former chief Rowen Saunders who stepped down in July and will join Economical Insurance on November 1.
"It's an exciting and challenging time for our business and I'm honoured to have the opportunity to lead RSA Canada and continue to drive our transformation to be best in class,” Thompson commented.
Thompson has been with RSA Canada since 1997 and has been acting CEO since Saunders departure. He was previously senior vice president, Commercial Insurance and Global Specialty Lines.
“RSA Canada is a fantastic organization with dedicated and talented people who are focused on delivering results for the business, our customers and our brokers. I know our business very well and will provide confident and decisive leadership for our business moving forward," he added.
