Medical malpractice sector is on the mend.

Long viewed as an industry in crisis, the medical malpractice sector is returning to health, thanks to several measures taken by insurers to improve profitability. Rocked by the departure of a leading policy writer, St. Paul Cos., from the sector in 2001, med-mal firms not only raised rates and tightened underwriting standards, but also benefited from tort reforms enacted in several populous states, according to the A.M. Best Special Report U.S. Medical Malpractice 2006 Market Review.

Top Five Med-Mal Writers--2006 versus 2001

2006                                       2006 DPW   Market
Rank   Group/Company Name                   ($000)s    Share

1      MLMIC Group                          900,437     8.4%
2      American International Group Inc.    819,222     7.6%
3      Berkshire Hathaway Ins. Group        724,939     6.7%
4      ProAssurance Group                   616,160     5.7%
5      CNA Insurance Companies              578,206     5.4%

2001                                       2001 DPW   Market
Rank   Group/Company Name                   ($000)s    Share

1      MLMIC Group                          704,379     9.6%
2      St Paul Companies                    583,612     8.0%
3      GE Global Ins Group                  405,007     5.5%
4      ProAssurance Group                   339,665     4.6%
5      Zurich                               315,901     4.3%

Source: A.M. Best Co.