By Lars Powell, PhD
When government and commerce collide, it can leave behind sticky residue that economists call inefficiency. Decades of academic studies pose theories and parse terabytes of data to determine why this happens and how much it costs. The insurance industry stands out in the economic literature as a frequent loser among regulated sectors.
Physicians have a retirement planning vehicle available to them that few are aware of, the Roth IRA Conversion. The
principal difference between Roth IRAs and traditional IRAs is that, you don’t receive a tax deduction for making a contribution to a Roth IRA, but those contributions grow tax free and you don’t have to pay any tax upon withdrawal.
A message from your CEO, Corey Little
WHEN I FIRST STARTED meeting with Arkansas physicians and insurance experts about the formation of an Arkansas medical malpractice insurance company, Houston Nutt and Stan Heath were Razorback coaches. It was 2007 and Razorback fans were not happy. Neither were the Arkansas doctors that I visited with. These doctors were irritated by being abandoned by St. Paul and unhappy with St. Paul’s decision to leave the med-mal market. They realized that as long as they were with an out-of-state company they would not be able to control such events. Just like with the Hogs,
it was time for a change.
Human nature tends to dictate “follow the path of least resistance.” As physicians, we are no different, at least in this regard. During 2002, Arkansas physicians had to endure considerable angst and uncertainty when St Paul pulled out of the medical malpractice insurance market. At that time, most states that did not already have a medical malpractice company domiciled in their own state, established one-usually following the single state mutual model. This was accomplished with the help of their respective Medical Societies. Arkansas, for whatever reason, chose not to establish our own in-state company. We chose to go to out of state companies, and at the time I’m sure that seemed the most logical decision, especially considering what limited options were available at the time. The decision to go with an out of state company has provided Arkansas doctors with excellent malpractice coverage from an excellent company, however, there have been several aspects of this decision that now deserve examination.
Personally, I would like to know someone in the company that is entrusted to provide my malpractice coverage.
Like many of you, I’m a football fan. To be precise, a Razorback fan. I think it goes all the way back to being a six year old and remembering my dad carrying me on his shoulders to the 1969 Arkansas vs. Texas game. Dad was working on his doctorate in education at the University while supporting a family with five children. President Nixon’s helicopter landing next to the stadium was the coolest thing I had ever seen. The walk home was not as fun as the walk to the game but my love for the University was set.
By Joyce Wilson, CIC
LITTLE ROCK, ARKANSAS — For years the Arkansas Medical Foundation has helped Arkansas physicians impaired by the strain of their profession. A $10,000 grant from Arkansas Mutual Insurance Company will help the Foundation provide treatment and follow-up assistance that allow struggling medical professionals to practice safely.