Massachusetts Medial Malpractice

MASSACHUSETTS MEDCIAL MALPRACTICE REINSURANCE PLAN

ANNUAL MEETING May 3, 2012

Minutes of the Annual Meeting

The annual meeting of the Massachusetts Medical Malpractice Reinsurance Plan

(“MMMRP” or the Plan) was held at The Andover Inn, 4 Chapel Avenue, Andover,

Massachusetts on Thursday, May 3, 2012 at 10:00AM.

The following Governing Committee members were present in person: William T. McGrail, Chairman Richard W. Brewer Gerald J. Cassidy Jill A. Gold Peter T. Robertson, Esq.

The following MMMRP Staff/Consultants/Sub-Committee members were present: Susan S. Smith, Director of Administration Moe Edwards, CPA, CFO James Bacon, Investment and Ops & Audit Committees John Tympanick, Investment Committee Peter Kiely, Investment Committee

Carl Valvo, Esq., Cosgrove Eisenberg and Kiley, Counsel

Eric Piurkowski, Saslow, Lufkin & Buggy, LLP Todd Thiesfeldt, Saslow, Lufkin & Buggy, LLP

Others present:

Matt Mancini, Esq., Division of Insurance Charles Alagero, Esq., VP & General Counsel, MA Medical Society Stephen Langluis, Coverys Tara Gibson, Coverys

1. Call to Order Mr. William McGrail called the meeting to order at 10:00 AM. Ms. Susan Smith kept a record of the proceedings. All meeting attendees introduced themselves.

2. Quorum and Notice

Mr. McGrail noted that all Governing Committee members were in attendance in-person and that a quorum was present at the meeting. He reported that the required notices for the meeting had been sent to the Secretary of State, Division of Insurance and Executive Office of

Administration and Finance and placed on the Plan’s website.

3. Approval of Previous Annual Meeting Minutes

Mr. McGrail noted the minutes to the previous Annual Meeting dated May 5, 2011 had been distributed. A motion was made by Mr. Cassidy and duly seconded by Ms. Gold to approve the May 5, 2011 Annual Meeting minutes as presented. The motion passed unanimously.

4. Report of Financial Condition (December 31, 2011) – Todd Thiesfeldt and Eric Piurkowski, Saslow, Lufkin & Buggy

Todd Thiesfeldt and Eric Piurkowski of Saslow, Lufkin & Buggy, LLP (SLB), the Plan’s independent auditors, introduced themselves. Mr. Thiesfeldt noted this was his second year on the account and that Mr. Piurkowski had been on the account for several years. Mr. Piurkowski briefly described the reports that were prepared for the Plan. Copies of the Independent

Auditors’ Statutory Financial Statement Audit Results and Communications for the year ending

December 31, 2010 were distributed, and a copy is attached with these minutes.

Mr. Piurkowski noted they had met earlier in the day and reviewed the report in detail at the 8:00 AM Operations and Audit Committee meeting. Mr. Thiesfeldt added that there were no audit adjustments and that this was a clean statutory opinion. Mr. Piurkowski reviewed the 2 balance sheet noting a strong net income of $2.2M and also noted that there was no assessment return in 2011. He also pointed out that the Plan is in a deficit situation. Mr. Piurkowski also stated that there was a Management Letter due to a minor issue with the reconciliation of claims and reserves and that Plan Management will hold quarterly reconciliation meetings. He further stated that this did not result in any adjustments. He reported there were no material weaknesses or significant deficiencies in the Plans internal controls, adding that financial statements are prepared under NAIC statutory reporting standards. Questions were answered as needed during the presentation.

Mr. McGrail noted that copies of the Annual Statement and the Towers Watson Analysis of Unpaid Loss and ALAE as of 12-31-11 had been distributed to members of the Governing

Committee.

5. Relationship between Healthcare Reform and Healthcare Liability

Mr. McGrail introduced Charles Alagero, Esq., VP & General Counsel for the

Massachusetts Medical Society. Mr. Alagero delivered a thorough PowerPoint presentation entitled “Relationship between Healthcare Reform and Healthcare Liability” which included the following slides: chart of uninsured in MA; rising healthcare costs; state legislative activity; variation in pricing; cost and containment and liability; payment reform legislation 2011; key elements of Governors Bill; ACOs and liability; disclosure, apology & offer; and next steps. He answered questions posed from meeting attendees.

3 6. Other Business

There was no further business to discuss.

7. Adjournment

A motion was made and duly seconded to adjourn the Annual Meeting at 11:15PM. The motion passed by a unanimous vote.

A true record transcribed on May 6, 2012.

______MMMRP Officer