| The Doctor’s Advocate | Fourth Quarter 2007 |
The Doctors Company to Acquire SCPIE Holdings Inc.
From the Chairman—by Richard E. Anderson, MD, FACP, Chairman and Chief Executive Officer
I am happy to announce that we have entered into an agreement to acquire SCPIE Holdings Inc.
SCPIE is a leading provider of health care liability insurance for physicians and other health care providers, medical groups, and health care facilities. Following the merger, The Doctors Company will insure more than 19,000 physicians in California, enlarging our market leadership there, and making us the largest insurer of physician and surgeon professional liability in the U.S.
As we bring these two physician-founded companies together, we will combine the strengths of both organizations. Members will benefit from a financially secure company relentlessly committed to protecting, defending, and rewarding our members. By enlarging The Doctors Company, we continually improve our ability to aggressively defend claims, lead tort reform efforts, enhance patient safety activities, and strengthen our outstanding customer service and member benefits.
When the SCPIE Board of Directors approved the transaction, it called The Doctors Company “one of the most well-respected medical malpractice insurers in California.” SCPIE has told its shareholders that The Doctors Company is “… best poised to maximize shareholder value” and that “The Doctors Company’s acquisition is the best deal for all shareholders.”
The transaction is subject to the customary closing conditions, including regulatory review, and a favorable vote by a majority of SCPIE’s shareholders. We have already received approval from the Federal Trade Commission for the merger. We expect completion of the transaction by the end of the first quarter of 2008.
We are genuinely pleased by the enhanced value that The Doctors Company will be able to offer our policyholders and will keep you informed as we pursue this transaction to completion.
About the Author
Richard E. Anderson, MD, FACP, a medical oncologist, is chairman and chief executive officer of The Doctors Company. A member of the American Society of Clinical Oncology and a fellow of the American College of Physicians, Dr. Anderson was a clinical professor of medicine at the University of California, San Diego, and is past chairman of the Department of Medicine at Scripps Memorial Hospital, where he served as senior oncologist for 18 years. Dr. Anderson is the editor of a book on medical malpractice, and his commentaries on legal reform and defensive medicine have been widely cited. He is the 2004 recipient of the PLUS Foundation Award for Outstanding Leadership in Healthcare Professional Liability.
The Doctor’s Advocate is published by The Doctors Company to advise and inform its members about loss prevention and insurance issues.
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