Willkie represented the sellers in the transaction.
Hospitals Insurance Company (HIC), a hospital-owned insurance company, and FOJP Service Corporation, a risk management organization serving the healthcare industry- together with Mount Sinai Health System (Mount Sinai), Montefiore Health System (Montefiore), and Maimonides Medical Center (Maimonides)- announced their agreement to sell HIC and FOJP to The Doctors Company for $650 million, subject to closing adjustment. The Doctors Company is the largest physician-owned medical malpractice insurer in the country, serving 80,000 members across the country.
HIC and FOJP were formed by Beth Israel, Montefiore, Mount Sinai and Maimonides hospitals in the 1970s and 1980s to provide the hospitals and related physicians with medical malpractice insurance. The sale presents an important opportunity to financially strengthen these three hospital systems, so they can meet the health care needs of their communities and continue to provide the highest quality care.
HIC is a New York State licensed insurance company providing insurance coverages and services to hospitals, long-term care facilities, physicians, and healthcare professionals throughout New York State. FOJP is a risk management organization serving hospitals, long-term care facilities, and social service agencies in the metropolitan New York area. Founded and led by physicians, The Doctors Company is the nation’s largest physician-owned medical malpractice insurer, with 80,000 members and over $4.8 billion in assets.
The Willkie team was led by partners Alexander Dye and Mitchell Auslander, senior counsel Bart Schwartz and associate Howard Block.