Physicians Preferred Malpractice Insurance Company Converts from a Reciprocal to...

Physicians Preferred Malpractice Insurance Company Converts from a Reciprocal
to a Stock Company

JACKSONVILLE, Fla., Jan. 15 /PRNewswire/ -- Physicians Preferred Insurance
Company has successfully converted to a Florida stock company following the
overwhelming approval of its subscribers.
Physicians Preferred, which writes medical malpractice insurance, was
originally formed as an insurance reciprocal in the fall of 2004. The
conversion to a stock company became effective January 1, 2008.
The conversion will not result in any changes to the professional
liability insurance policies issued by Physicians Preferred prior to the
conversion or the coverages and benefits of existing policies, according to
Elliott Horovitz, company founder and Chief Executive Officer of the insurance
company.
"Due to the steady growth of Physicians Preferred, we believe that the
conversion to a stock company is a logical step for the company's future,"
explained Horovitz. "As a reciprocal insurer, Physicians Preferred was limited
to raising capital from its insureds or from retained profits or from debt
equity sources. As a stock company, we can raise capital as and when needed to
pursue our business objectives. It offers us greater opportunities to compete
with other malpractice insurers.
"And, perhaps the best reason for conversion, is the company can enroll
physicians upon payment of a premium alone, rather than the premium plus
surplus. This will give our company a greater ability to attract and retain
customers for our insurance products," Horovitz added.
Physicians Preferred, which is based in Jacksonville, Florida, currently
insures more than 1,100 doctors in various specialties throughout the state.
SOURCE Physicians Preferred Insurance Company

Bruce Horovitz, +1-904-332-7841, bhorovitz@physicianspreferred.com, of
Physicians Preferred Insurance Company; or Agency, Les Loggins,
+1-904-229-0981, lloggins@theempireus.com, for Physicians Preferred Insurance
Company