NJ PURE Medical Malpractice Insurer Receives Favorable Financial Rating From S.A.S.

Standard Analytical Service (SAS) Rating for NJPURE Is Higher Than For The 15 Largest Companies

Princeton NJ – New Jersey Physicians United Reciprocal Exchange (NJ PURE), a leading NJ medical malpractice insurer, received a favorable public rating by Standard Analytical Service, Inc. (SAS). SAS’s comparison report showed that NJ PURE scored better in all four key financial ratio indicators than the aggregate averages of the leading fifteen insurance companies. These ratios include the assets to liabilities ratios’, surplus to loss reserves, surplus to net premiums written and premiums written to surplus. SAS is independent of any insurance company and has been publishing independent comparison reports since 1932.

SAS based its rating upon its comparison of NJ PURE’s 2005 financial statements to the leading fifteen Property and Casualty Insurance Companies in the world. According to the SAS comparison report, NJ PURE’s favorable ratios indicate “financial soundness” and “a safe balance between surplus and the volume of business written.”

“We entered the market with the purpose to provide a long-term solution to the medical malpractice crisis and this shows that our business model is being recognized by independent experts in the field,” said Eric Poe, Esq. CPA, Vice President of Marketing and Business Development. “We cut costly expenses that other insurers paid such as commissions to agents and brokers and by lowering the expenses we are able to keep our rates stable. This is evidenced by the fact that NJ PURE has gone through only one rate increase of 10% since January of 2003, and this rate stability has allowed our physician policyholders to afford to stay in practice and focus on treating their patients.”

NJ PURE was founded by former NJ Insurance Commissioner James Sheeran (1974-1982) and national award winning insurance actuary Lena Chang, Ph.D., in the Fall of 2002 as a solution to the medical malpractice crisis in New Jersey when MIIX ceased writing business and Princeton Insurance Company was downgraded by A.M. Best. Now approaching its fifth year of business, NJ PURE has already seen its long-term conservative business model yield favorable results. For additional information, please visit www.njpure.com.

For more information regarding this news release, please contact: MWW Group – (201) 964-2369
Stephen Altobelli (saltobelli@mww.com).