2018 Annual Report


Our Mission

HealthCap® is a senior living industry solution to an insurance problem.

HealthCap is a community of senior care professionals: risk managers, defense experts, insurance professionals, and senior care providers working together to reduce risk and protect the people who provide the care.

Protecting the people who provide the care.®

Our Toolbox

Adaptive member engagement

Most insurance companies just sell insurance. Sound fine? Well, not to us. Our members own HealthCap so we strive to take our members where they are, then help them get better. We visit nearly every single facility nearly every single year to assist them with solutions for fall prevention, skin issues, staffing and regulatory compliance. Do we make a difference? You bet. HealthCap members have lawsuits filed against them at half (yes, half) the rate of the rest of the industry.

Specialist agent force

Most agents just sell insurance. Sounds fine? Again, not to us. Senior living is a unique industry with constantly shifting demands. To keep up, you need an agent who specializes in senior living. Average is not good enough. HealthCap agents specialize in senior living. They know what you need now and what you will need in the future.

Hands-on, tactical claim handling

A claim is a claim is a claim. Perhaps to most insurance companies it is. Not to us. Litigation is scary. Senior living litigation is horrible and not for the faint of heart. If your insurance company is average at senior living litigation, they are not good enough. HealthCap works hard at every step of the process even before a lawsuit has been filed to ensure you get the best results possible. HealthCap helps our members have fewer claims, but when claims occur, we settle them for half the industry average.

2018 Results

Consistently the lowest claims frequency and severity in the industry.  We take our members where they are and we help them deliver even better quality care to their residents and families.



CEU's awarded


Claims closed


Operating in

0 States

Claims paid




Claim Frequency


Risk Management Visits


Claim Severity


Board of Directors


Ronald Wilson

RFMS, Inc Galesburg, Illinois

Timothy Chesney

MSTC Development, Inc. Warren, Ohio

Scott Ganton

Ganton Senior Communities LLC Battle Creek, Michigan

Paul Liistro

Arbors of Hop Brook, Manchester Manor & Vernon Manor Manchester, Connecticut

Jay Moskowitz

Vivage Quality Health Partners Lakewood, Colorado

Jeffery Schade

The Peplinski Group Farwell, Michigan

Christopher Wright

iCare Management Manchester, Connecticut

CEO Statement

Leo Tolstoy said that the two most powerful warriors are patience and time. And that’s why today is a great day to be a HealthCap member.

In 2000, every insurance company and its little brother wanted to write liability coverage for senior living facilities for as little as sixty dollars per bed.

Unfortunately, at about the same time some law firms figured out how to sue nursing homes and win big.

One year later, almost nobody wanted to write the coverage and if they did, they wanted $3,000 per bed.

HealthCap started in 2001 to help the senior living industry control its own destiny.

2018 has been a different year.

Every year I tell you that several insurance companies stopped writing senior living liability.

In 2018, more are gone but fewer are coming. In 2019, more will go still.

Why? It comes down to three things: insurance rates, interest rates and execution.

Like it or not, senior living is getting riskier.

Why? With super low unemployment, staffing is a nightmare and that impacts care.

You combine that with the increased scrutiny of the industry, you have a powerful and bad combination.

Even though premium rates are rising, they still have not caught up.

Let me help with the math.

Over the past ten years, the average bed rate has been driven down every year while at the same time the average loss cost per bed is up year over year.

One year of price increases can’t make up for that.

Ten years ago, investment income could cover a multitude of insurance company shortcomings. That is simply no longer the case.

The third reason is insurance company execution. At HealthCap, we execute like no other carrier in our space and it is not even close.

Our members’ claim frequency is half the industry average. That means the rest of the industry has twice as many claims per bed.

Our members’ claim severity is half the industry average. Again, that means that other carriers pay double per claim.

How can other insurance companies who write senior living liability have twice as many claims per bed and pay twice as much per claim and collect the same amount of premium per bed as HealthCap?

They can’t, at least not for long.

That is why our list of former competitors keeps growing. Now it is almost 100.

History doesn’t repeat itself so much as it rhymes.

The senior living liability insurance market of 2018 rhymes with 2001.

There is still some pain to be felt by our competitors.

Rates will have to rise substantially before other carriers can hope to break even.

The one rub to rising insurance rates is the impact that has on facilities and owners. Nobody appreciates expense volatility.

Where does all this leave HealthCap? Right where we are. Right where we have always been.

We are a senior living industry solution to an insurance problem.

We are consistent. We take our members where they are and help make them better. That is why our members have half the claims frequency as the rest of the industry.

We execute like you read about. That is why we close claims for half the industry average.

I am happy to report that in 2018 HealthCap had another strong year.

Our written premium was $51 million, up from $44 million in 2017.

New business submissions were up over forty percent to our highest number ever.

Investment income was lower as a result of market volatility, and that will impact profitability in the short-term but will help us in the future.

If you are a senior living owner or facility that is committed to quality care, you should be with HealthCap.

If you are an insurance company that thinks that writing some nursing home and assisted living insurance might be the right niche for your healthcare vertical, you have got to be kidding me.

You are not good enough you never will be.

I give thanks for our Board of Directors, our association partners at AHCA/NCAL, our agent partners across the country and our fantastic HealthCap team.

Thank you for your patience and a great 2018.

It is a great time to be a HealthCap member.



HealthCap members have fewer claims and when they do, we settle them for half the industry average.




HealthCap is the endorsed liability carrier of the American HealthCare Association and the National Center for Assisted Living and dozens of state affiliates. Our members are the direct beneficiaries of the strength of those relationships. AHCA/NCAL is the nation's largest association of long-term and post-acute care providers. Their commitment to quality perfectly complements our mission.

Helping Hands

Protecting through insurance and risk management is just one of the ways HealthCap makes a difference. We are also actively involved in several charitable organizations in our own community as well as making a difference in the lives of our members’ residents.

View the Helping Hands website
  • Big House 5k
  • Family Learning Institute
  • Food Gatherers
  • Magic of Christmas
  • SOS Community Services
  • Warm the Children