Joseph Murphy has left his position as the chief insurance regulator for Commonwealth of Massachusetts to become chief operating officer at Boston, MA-based Coverys, a leading provider of liability insurance for the medical profession.
In his new position, Murphy will be in charge of all underwriting, risk management and marketing operations at Coverys. He will also help with the strategic direction of the company.
With net admitted assets of $3.4 billion and direct written premiums of $363 million, Coverys is the country’s eighth largest malpractice insurer. Its affiliated companies insure medical professionals and facilities in 27 states.
Prior to his five years of service as Commissioner of Insurance, Murphy spent three years as the state’s first deputy commissioner. He also served as research director for the Joint Committee on Insurance for the Massachusetts House of Representatives.
Murphy’s tenure as commissioner was marked by a legal battle in which the state successfully defended its right to cap health insurer’s premiums. At the same time, Murphy also imposed strict oversight on several insurers the state claim were in danger of insolvency.
Murphy’s move echoes the ongoing trend of public officials taking positions with private-sector companies operating in markets they were once responsible for regulating. Connecticut Insurance Commissioner Thomas B. Leonardi, for example, announced his resignation last week and will join New York, NY-based investment advisory firm Evercore Partners as part of its insurance practice. Similarly, Kansas Insurance Department Assistant Commissioner Zachary Anshutz was tapped this month by Topeka, KS-based insurance marketer Advisors Excel to be its director of regulatory affairs and chief compliance officer.
