Exhibit 99
FPIC Insurance Group, Inc. Announces
Affirmation of Its A- (Excellent) Group Rating By A. M. Best Company
JACKSONVILLE, Fla. -- (Business Wire) -- April 17, 2002 -- FPIC Insurance Group,
Inc. (Nasdaq: FPIC) ("FPIC" or the "Company") announced today that A. M. Best
Company ("Best") has affirmed its Best group rating of A- (Excellent). The
rating applies to FPIC's four insurance subsidiaries, First Professionals
Insurance Company, Inc., Anesthesiologists Professional Assurance Company,
Intermed Insurance Company and Interlex Insurance Company.
Best specifically referred to the group's historical profitability, and its
diversification, sound overall financial condition and leadership positions in
principal markets as positive factors in its rating rationale. Best also
commented favorably on the stabilization and recent enhancements to the group's
current senior management team and essential reporting process. The rating
rationale also makes reference to certain offsetting factors, including the
group's own recent adverse loss development and rising medical professional
liability loss costs, in general, and other uncertainties in the healthcare
industry; and accordingly, the affirmation is accompanied with a negative
outlook. Details concerning Best's rating rationale with respect to the group
can be obtained directly from its website at www.AMBest.com, by writing Best at
A. M. Best Company, Ambest Road, Oldwick, New Jersey 08858, or by calling Best
at (908) 439-2200.
John R. Byers, the Company's President and Chief Executive Officer stated, "We
are obviously pleased to once again receive affirmation of our A- (Excellent)
rating from Best. Financial strength is one of our highest priorities and our
Best rating is an important indicator to us of how well we are doing. We also
realize its importance to our customers and all our stakeholders."
Commenting further on the year 2001 and the rating, Mr. Byers said, "The year
2001 was a difficult one for our sector in terms of financial performance and we
are mindful of recent negative rating actions taken by Best with respect to
certain organizations. Given these conditions and uncertainties regarding
medical professional liability insurance trends, in particular, we are not
surprised that our affirmation is accompanied with a negative outlook this year,
which does not impact our business. We have worked very hard over the past two
years to maintain and improve our financial strength and the credibility of our
results and situation by providing more and better information and analysis to
all our stakeholders. With the affirmation of our rating by Best and the
successful negotiation of a waiver and modification of our credit facilities now
behind us, we believe we are fully prepared to take advantage of the
opportunities before us."
Safe Harbor Disclosure
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The Private Securities Litigation Reform Act of 1995 provides a "safe harbor"
for forward-looking statements. Any written or oral statements made by or on
behalf of the Company may include forward-looking statements, which reflect the
Company's current views with respect to future events and financial performance.
These forward-looking statements are subject to certain uncertainties and other
factors that could cause actual results to differ materially from such
statements. These uncertainties and other factors (which are described in more
detail in documents filed by the Company with the Securities and Exchange
Commission) include, but are not limited to, (i) uncertainties relating to
government and regulatory policies (such as subjecting the Company to insurance
regulation or taxation in additional jurisdictions or amending, revoking or
enacting any laws, regulations or treaties affecting the Company's current
operations), (ii) the
occurrence of insured or reinsured events with a frequency or severity exceeding
the Company's estimates, (iii) legal developments, (iv) the uncertainties of the
loss reserving process, (v) the actual amount of new and renewal business and
market acceptance of expansion plans, (vi) the loss of the services of any of
the Company's executive officers, (vii) changing rates of inflation and other
economic conditions, (viii) the ability to collect reinsurance recoverables,
(ix) the competitive environment in which the Company operates, related trends
and associated pricing pressures and developments, (x) the impact of mergers and
acquisitions, including the ability to successfully integrate acquired
businesses and achieve cost savings, competing demands for the Company's capital
and the risk of undisclosed liabilities, (xi) developments in global financial
markets that could affect the Company's investment portfolio and financing
plans, (xii) risk factors associated with financing and refinancing, including
the willingness of credit institutions to provide financing and the availability
of credit generally, (xiii) developments in reinsurance markets that could
affect the Company's reinsurance program; and (xiv) changes in the Company's
financial ratings resulting from one or more of these uncertainties and other
factors.
The words "believe," "anticipate," "foresee," "estimate," "project," "plan,"
"expect," "intend," "hope," "will likely result" or "will continue" and
variations thereof or similar expressions identify forward-looking statements.
Readers are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of their dates. The Company undertakes no
obligation to publicly update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise.
Corporate Profile
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FPIC Insurance Group, Inc., through its subsidiary companies, is a leading
provider of professional liability insurance for physicians, dentists, other
healthcare providers and attorneys, primarily in Florida and Missouri. In
addition, the Company provides reciprocal management and administration services
to Physicians' Reciprocal Insurers, the second largest medical professional
liability insurance carrier in the state of New York, and third-party
administration services both within and outside the healthcare industry. Its
insurance subsidiaries, First Professionals Insurance Company, Inc.,
Anesthesiologists Professional Assurance Company, Intermed Insurance Company and
Interlex Insurance Company, have an A- (Excellent) group rating from A.M. Best.
Corporate Contact
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Roberta Goes Cown
Senior Vice President and Corporate Counsel
(904) 354-2482, Extension 3287
For all of your investor information needs,
please visit our corporate website at http://www.fpic.com
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FPIC is on the Internet at
www.fpic.com
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Nasdaq Listing Symbol: FPIC