Minneapolis-based mutual holding company Constellation has been launched to help the physician-owned medical liability companies collaborate for common benefit.
Originally established by Midwest medical liability company (MMIC), Constellation will enable physician-governed insurers to share resources and expertise, simultaneously providing them with the scale, efficiencies, capital and support required to better compete against large stock companies.
The network will include both member companies, including mutual owners and contractual affiliates.
Constellation president and CEO Bill McDonough said the company will enable insurers to grow while maintaining their physician-owned, mission-driven model.
”As members of our network, they’ll be able to retain their own brand and customary operations while leveraging each other’s strengths and resources,” McDonough added.
The nature of information and resources shared will depend on the type of relationship formed, but will broadly include expanded solutions for policyholders, increased access to capital, reduced risk through shared reinsurance contracts, as well as access to data warehousing and predictive analytics.
Headquartered in Minnesota, Constellation through MMIC will provide solutions to more than 17,000 physicians and 500 facilities, including hospitals, clinics and long-term care organizations.