The Doctors Company to acquire ProAssurance for $1.3bn

US medical malpractice insurer The Doctors Company has announced it has entered into a definitive agreement to acquire specialty insurer ProAssurance Corporation.

The all-cash transaction, valued at approximately $1.3 billion, will see ProAssurance stock holders receive $25.00 per share, representing an approximately 60% premium to the closing price per share price on March 18, 2025, the day before the announcement.

Upon completion, the combined entity will boast assets of roughly $12 billion, creating a powerhouse in the medical liability and specialty insurance sectors.

Richard E. Anderson, MD, FACP, Chairman and Chief Executive Officer of The Doctors Company, commented: “We are excited to further our mission to advance, protect, and reward the practice of good medicine to an even greater number of healthcare providers across the nation.”

“Healthcare is a team sport and the teams are getting larger. In order to provide them the best imaginable service requires a mission-based company with nationwide scale, resources and dedication to all medical professions and healthcare providers. The addition of ProAssurance to The Doctors Company significantly enhances our ability to serve healthcare professionals now and well into the future.”

Ned Rand, ProAssurance’s President and Chief Executive Officer, added: “This transaction will deliver significant value to our shareholders. Both ProAssurance and The Doctors Company were founded by physicians in response to the medical liability crisis of the 1970s. Both companies have grown over the years by bringing together other physician-founded companies.

“This shared history has helped both companies fulfill our shared mission to protect others and given us similar operating philosophies and cultures. Bringing the strengths and capabilities of our companies together now will allow our teams to continue to serve today’s healthcare providers with the necessary scale and breadth of capabilities.”

The ProAssurance Board of Directors has unanimously approved the deal and recommended share holder approval.

 The transaction is expected to close in the first half of 2026, subject to customary closing conditions,  including shareholder and regulatory approvals.

According to the announcement, the transaction is not subject to a financing condition.

Houlihan Lokey Capital, Inc. and Howden Capital Markets & Advisory are serving as financial advisors to The Doctors Company, with Mayer Brown LLP providing legal counsel.

Goldman Sachs & Co. LLC is acting as financial advisor to ProAssurance, with Simpson Thacher & Bartlett LLP and Willkie Farr & Gallagher LLP serving as legal counsel.

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