Los Angeles-based Sullivan HealthCare Insurance Services Inc. reported premium volume for the first half of 2000 was up over 300 percent, exceeding the amount of business written during all of 1999 by the niche-market wholesaler.
Executive Vice President Pete Germain said the start-up company already has “in excess of $2.8 million on the books for July.” Long-term care facilities are one of the niches in which the company has profited.
“Rates for long-term care facilities have been rising for the last year, and now are up at least 10 to 15 times what they were three months ago, and they continue to spiral upward,” Germain said. “We can still find homes for that line of business, but there are a lot fewer homes going for a much higher price.”
Germain also predicted a hardening market for medical malpractice/professional liability risks, due to consolidation of key carriers and recent rating downgrades in the market.
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