In 2013, the Board of Directors of the Ophthalmic Mutual Insurance Company (OMIC) announced a 25% dividend for physician insureds that will come in the form of a 2014 renewal premium credit. See below for details about distribution of the dividend credit.
Q: When will I receive my 2013 dividend?
A: OMIC announced a 25% dividend for physician insureds renewing in 2014. Issuance of this dividend requires that an active 2013 professional liability policy be renewed and maintained throughout a physician insured’s 2014 policy period.
Q: What happens if I cancel during the year?
A: Mid-term cancellation will result in a pro-rata dividend.
Q: How will I receive my dividend?
A: The dividend will appear on your policy invoice as a credit to either your annual or quarterly billing installment. OMIC issues dividends as a credit toward renewal premiums for two reasons. First, premium credits offer favorable tax implications for policyholders. Second, premium credits allow for easy and efficient distribution of dividends.
OMIC continues to reduce malpractice insurance costs through lower rates and paid dividends. In addition to premium reductions of nearly 30% across the country since 2005, OMIC has announced dividend credits totaling more than $30 Million since 2009. Issuance of dividend credits are not guaranteed and are determined each year after careful analysis of OMIC’s operating performance. OMIC’s Board is committed to returning any premium above what is necessary to prudently operate your company.