The company's executive vice president attributes the decrease to the company's aggressive defense of non-meritorious claims, which has been "quite effective." The number of claims dismissed without payment has grown for the third consecutive year.
Policyholders who have been with NCMIC for more than two consecutive years with no losses or loss expenses for three years will be eligible for a ten percent dividend. The dividend credits will be applied to renewal premiums beginning with January 1990 renewals and continuing through 1990.
As a by-product of an aggressive claims effort, the loss expenses for attorneys, expert witnesses, and claim adjudication services continues to escalate. NCMIC is currently paying $1.37 of loss expenses for each $1.00 of losses.
NCMIC continues to monitor the claim handling process. A networking of defense methodology on cases of a similar nature is currently being implemented. Documentation on plaintiff expert witnesses who usually testify against policyholders is distributed to defense attorneys across the country. Mr. Rister said, "NCMIC is continually advised of the many intricacies of chiropractic and the ever-changing legal environment.
As NCMIC strives to improve and serve the chiropractors (who are the true owners of the company) they are pleased to offer a dividend for 1990.