Specialty Insurer ProAssurance to Go Private in $1.3 Bn Deal

The acquisition will take ProAssurance private, marking a significant shift in the medical liability insurance sector.

The Doctors Company, a medical malpractice insurer, has announced a definitive agreement to acquire specialty insurer ProAssurance in a deal valued at approximately $1.3 billion.

The acquisition will take ProAssurance private, marking a significant shift in the medical liability insurance sector.

ProAssurance, known for its coverage in medical liability, product liability for medical technology and life sciences firms, and workers' compensation insurance, will become a wholly owned subsidiary of The Doctors Company once the transaction is finalized.

The deal is expected to close in the first half of 2026.

Following the announcement, shares of ProAssurance surged 51.2% in aftermarket trading, reaching $23.50.

Key Financial Terms of the Agreement

Under the terms of the acquisition, ProAssurance shareholders will receive $25.00 per share in cash. This represents a 60.9% premium to the company’s last closing price, signaling strong investor interest in the deal.

Once the transaction is complete, ProAssurance will be delisted from the New York Stock Exchange. The combined entity is expected to have total assets of approximately $12 billion, according to company statements.

The acquisition reflects ongoing consolidation in the medical insurance sector as companies seek to strengthen their market position amid evolving industry challenges.