Medical indemnity merger complete
A Federal Court ruling has cleared the way for the merger of United Medical Protection (UMP) and the Medical Defence Association of Victoria.
Last week the court approved the $1.3 billion merger of the two companies, to be renamed Avant Mutual Group with 38,000 members.
The company is now the largest provider of medical indemnity policies in Australia, covering more than half of all doctors nationwide.
In December, the Australian Competition and Consumer Commission decided not to oppose the merger, ruling it was unlikely to result in a substantial lessening of competition in the market.
Avant Chairman-Elect Stuart Boland says the new company wants to lead by example on medical indemnity policies.
“We will be able to offer Avant members enhanced products and services with the development of ‘best of breed’ insurance policies, risk management tools and education,” he said.
UMP’s fortunes have turned drastically since the financially stricken carrier went into administration in 2002, sparking the medical indemnity crisis.
In October 2003, the NSW Supreme Court ended the company’s liquidation status, finding it had sufficient assets to continue without government help.
Last week the court approved the $1.3 billion merger of the two companies, to be renamed Avant Mutual Group with 38,000 members.
The company is now the largest provider of medical indemnity policies in Australia, covering more than half of all doctors nationwide.
In December, the Australian Competition and Consumer Commission decided not to oppose the merger, ruling it was unlikely to result in a substantial lessening of competition in the market.
Avant Chairman-Elect Stuart Boland says the new company wants to lead by example on medical indemnity policies.
“We will be able to offer Avant members enhanced products and services with the development of ‘best of breed’ insurance policies, risk management tools and education,” he said.
UMP’s fortunes have turned drastically since the financially stricken carrier went into administration in 2002, sparking the medical indemnity crisis.
In October 2003, the NSW Supreme Court ended the company’s liquidation status, finding it had sufficient assets to continue without government help.