OMIC’s Latest Policyholder Dividend Places Us Ahead of Peers

We are pleased to report that OMIC continues to perform as one of the most fiscally sound insurance companies in America. Our results through September 30 show policyholder growth has exceeded our year-end projections, surpassing 6,425 insured ophthalmologists.

As we forecast our full-year performance, it is clear that OMIC will again produce solid, profitable results despite an industry-wide uptick in both frequency and severity of claims and rising litigation costs. We remain laser-focused on managing these inflationary trends and continuing to vigorously defend claims, while at the same time streamlining processes and reducing expenses whenever possible.

OMIC has an impressive decades-long history of consistent premium rate stability. Our average rate of $10,400 for a surgical ophthalmologist is just 11% higher than the average was in 1992 ($9,400). This modest increase, over more than three decades, is remarkable considering the increase in the CPI of 225% during the same period. OMIC's average rates have historically been significantly lower, on average, than multispecialty peers within our industry for ophthalmology.

In addition to rate stability, we continue to return any premium to our members above that which is necessary to prudently run the company. Since 1992, OMIC has declared and returned more than $105 Million to policyholders through dividend credits. This is an average of approximately 8% or $975 per insured per year with the cumulative return surpassing $26,250 per insured ophthalmologist (or equal to two and a half years of coverage).

In keeping with that commitment, we are pleased to announce a 5% dividend credit, which will be applied to your 2025 renewal policy premium. Of 50 companies actively writing medical professional liability insurance, only 25% of them, including OMIC, issued dividends each year during the past decade. More than half issued no dividends at all during that period. Among the quarter of insurers issuing consistent returns, OMIC’s average dividend of 15% significantly exceeded the industry average.

OMIC is unique within our industry with regard to our continuing issuance of policyholder dividends during the current inflationary environment. With our latest declared dividend, OMIC will have issued dividends in 30 of the past 38 years. Your support of our program has contributed immensely to the continued growth of our company and these consistent returns.