Medical Mutual Insurance Company of Maine

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Medical Mutual Celebrates 30th Anniversary

Reprinted with permission from the Maine Medicine Weekly Update, a publication of the Maine Medical Association September 1, 2008

“On behalf of the leadership of MMA, it is my honor and privilege to extend our heartiest congratulations to all those involved in the company’s success during these past thirty years. We look forward to future anniversaries of what is, in our opinion, the most successful small market physician mutual company in the nation.”

 

— Gordon Smith, Esq. EVP of MMA

Sept. 1, 2008 marks the 30th anniversary of Medical Mutual Insurance Company of Maine which formally began operations on Sept. 1, 1978. The company held an anniversary event in Portland on Friday to commemorate the event.

In remarks to attendees Friday, company President Terrance Sheehan, M.D. noted that while the company has enjoyed great success over the years, when it began, that success was not guaranteed. Many observers in the late 70’s, particularly traditional insurance types, referred to such efforts as “bedpan” mutuals and asserted that a group of physicians could never successfully operate a medical liability insurance company. They could not have been more wrong.

Mutual liability companies organized by physicians in many states now insure the vast majority of physicians in the country. While many companies have merged or been sold, Medical Mutual has stayed true to its roots. It is still governed by a board with a strong majority of physicians and all the committees, including claims and underwriting, are chaired by physicians. While the company has expanded by writing insurance for physicians in New Hampshire and Vermont and the company now also insures hospitals in the three Northern New England states, the largest segment of business is with Maine physicians.

Two physicians present at Friday’s event have been leaders in the company since its creation, current Board Chair William Medd, M.D. of Norway and Jeremy Morton, M.D. of Portland. MMA congratulates Drs. Medd, Morton and all the physicians who have been involved with the company through the years. It has been a remarkable journey. Former company leaders including William Maxwell, M.D., Frederick Holler, M.D., and Patrick Dowling. M.D., also deserve recognition for their leadership during their respective terms as President of the company.

MMA, through the vision and leadership of Dr. Dan Hanley, at that time Executive Director of MMA, was instrumental in the effort to establish Medical Mutual in 1978. MMA provided an important capital component, which was paid back to MMA in the 1980’s through the authority of the Bureau of Insurance. Along with a bank loan and subordinated loan certificates by the insureds, this loan helped to establish the company. Dr. Hanley went on to serve as an active Board member of the company until the time of his death. MMA continues to endorse Medical Mutual as the preferred liability insurance carrier for MMA members.

“It is fair to say that MMA and Medical Mutual are the two organizations that Maine physicians rely upon everyday to maintain a reasonable liability climate in Maine and to protect their hardearned assets.” noted Gordon Smith, Esq., EVP of MMA. “On behalf of the leadership of MMA, it is my honor and privilege to extend our heartiest congratulations to all those involved in the company’s success during these past thirty years. We look forward to future anniversaries of what is, in our opinion, the most successful small market physician mutual company in the nation.”