The Florida Office of Insurance Regulation (OIR) has received notification from American Enterprise Group Inc. that two of its subsidiaries—American Republic Insurance Co. and World Insurance Co.—will exit the state for the purposes of individually underwritten comprehensive major medical business.
In an explanatory Oct. 24 letter to the OIR, American Enterprise specifically cites a “change in the regulatory environment,” including the Affordable Care Act's imposition of the minimum medical loss ratios as reasons for this decision.
According to 2010 data included in the OIR's Accident and Health Gross Annual Premium and Enrollment Summary report, American Republic wrote $6.8 million in premiums and had 3,459 individually underwritten policies in force as of 2010; World wrote $6.1 million in premiums and had 2,457 underwritten policies in force as of 2010.
The company says that the subsidiaries current policy counts are 1,248 policies for American Republic and 1,367 for World.
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