BETA History - BETA Healthcare Group

Major Milestones:

Our History

In the 1970s, a medical malpractice crisis emerged when commercial insurers in California either abandoned the professional liability market or increased rates so dramatically that healthcare providers could no longer afford coverage. Hospital executives searched for alternatives, seeking to control and stabilize the cost of professional liability insurance and avoid the rate swings that had typified the commercial insurance market.

2023

2023

BETA partnered with Cal/OSHA to combine both of our knowledge and know-how in healthcare, insurance and governmental sectors toward a common goal of improving workplace safety. By entering into an Alliance Agreement with Cal/OSHA, the two organizations will partner together in training opportunities and create safety materials that will advance employee and workplace safety in California.
A founding member of the National Patient Safety Board Advocacy Coalition, BETA supported the formation of an independent federal agency, the National Patient Safety Board (NPSB) to oversee federal coordination of patient safety efforts, study the causes or errors and create recommendations and solutions using a data-driven, scalable approach, similar to how the NTSB functions for aviation/transportation.
BETA supported the efforts of the President’s Council of Advisors on Science and Technology (PCAST) working group on patient safety which delivered a report to the Administration titled “A Transformational Effort on Patient Safety.” Part of a two-year effort helmed by leading patient safety stakeholders and federal agencies, the report draws attention to patient safety as a national public health issue and details a set of recommendations to empower existing and new efforts toward addressing medical harms and unsafe care.
BETA introduces new Mission, Vision and Values created by a committee of BETA employees and the Senior Leadership Team, the result of a shared strategic reflection and revision effort with a particular emphasis on the experience and outcomes for its employees and members. These new principles will guide the continued development of BETA’s organizational culture and business strategy.
BETA’s gross member contributions written were $205 million for the year ended December 31, 2023, 8.6% higher than budget, including $5.2 million in new business.
Approved $7.1 million in member dividends, the 32^nd consecutive year that BETA returned dividends to its members; total dividends over the years exceed $245 million.

2022

2022

BETA, in coalition with Californians Allied for Patient Protection (CAPP) and its affiliated members, was instrumental in the passage of landmark MICRA legislation (AB 35). The result is a modernized law that represents the biggest change to the medical professional liability landscape in nearly 50 years. The new MICRA provisions prioritize patients and the stability of affordable access to healthcare.
By connecting data, technology and decision making, BETA created a dataset from which it can leverage data across the enterprise to analyze and inform business decisions and populate real-time member dashboards. This provides an opportunity to proactively work with members to address trends seen in the data and help them tackle issues before they turn into risks or claims.
BETA’s gross member contributions written were $190 million for the year ended December 31, 2022, 7.1% higher than budget, including $4.1 million in new business.
Approved $11.4 million in member dividends, the 31st consecutive year that BETA returns dividends to its members; total dividends over the years total $238 million.

2021

2021

BETA exceeded its financial targets and posted all-time record gross member contributions written of $183 million, up 14% year over year.
Approved $14.3 million in member dividends, the 30^th consecutive year that BETA returns dividends to its members; total dividends over the years total top $224 million.
BETA extended the reach of BETA HEART^® by partnering with the Hospital Quality Institute (HQI) to bring BETA HEART to CHA/HQI member hospitals in a special program called HQI Cares: Implementing BETA HEART and had 22 hospitals elect to participate in the initial cohort.
BETA convened a cross-departmental task force consisting of individuals from Underwriting, Claims, Risk, IT, Business Intelligence and Marketing and Communications to enhance new member onboarding. The team streamlined processes and worked to provide a unified approach to onboarding that is seamless and ensures consistency of service delivery and support of member needs.

2020

2020

Approved $15.7 million in member dividends, the 29^th consecutive year that BETA returns dividends to its members; total dividends over the years top $213 million.
BETA mobilized an internal multidisciplinary COVID-19 Task Force to quickly respond to member concerns and inquiries related to caring for both patients and employees as new risks related to the pandemic emerged; BETA Council approved an accelerated payment of all 2020/2021 dividends early in the contract year to help ease potential member cash flow issues due to the pandemic.
A. M. Best affirms BETA Healthcare Group’s “A (Excellent)” Rating and Stable Outlook.

2019

2019

BETA celebrated its 40^th Anniversary (1979 – 2019) and continues to excel for its members, support its employees, manage risk through expertise, and grow sustainably as an organization.
Provided coverage to over 600 hospital and healthcare facility locations, with more than 7,600 covered physicians and more than 50 medical groups, and provided workers’ compensation coverage to more than 70,000 healthcare workers in California.
Approved $14.5 million in member dividends, the 28th consecutive year BETA issued dividends to its members; total dividends distributed top $197 million.
Introduced a series of 6 new Employment Practices Liability (EPL) webinars for healthcare and HR professionals to arm participants with the knowledge and skills needed to avoid common EPL risks.

2018

2018

Approved $15.2 million in member dividends, the 27^th consecutive year that BETA has returned dividends to its members; total dividends over the years exceeds $183 million.
A.M. Best affirms BETA Healthcare Group’s “A (Excellent)” Rating and Stable Outlook.
Launched a set of 12 BETA Safety Series webinars with a focus on organizational risk on topics related to enterprise safety in healthcare for both employees and patients.
Introduced the Employee Safety and Wellness Initiative (ESWI) employee safety incentive-based program, launched the Provider Insights risk mitigation newsletter, and developed and launched the “Management of Mental Health Patients in the ED” Toolkit.

2017

2017

BETA Healthcare Group closes merger with ALPHA Fund and now offers Workers’ Compensation coverage to the healthcare industry, in addition to the liability coverages it provides to public and non-profit hospitals and healthcare facilities.
BETA maintains its “A (Excellent)” Rating from A.M. Best.
Approved dividends to its liability members totaling $13 million with eligible members receiving a special dividend of $6.5 million and a renewal dividend of $6.5 million.
BETA launches its BETA HEART^® (Healing, Empathy, Accountability, Resolution and Trust) Program to help members bring about culture change by promoting transparent and open dialogue with patients and their families to resolve harm events early while reinforcing trust among patients, families and caregivers; 20 members elect to participate in its inaugural year.

2016

2016

Merger announced between ALPHA Fund and BETA Healthcare Group Risk Management Authority to combine ALPHA and BETARMA into a single entity.
BETA Healthcare Group expands into the states of Oregon and Washington offering primary healthcare liability coverage, Excess Liability Coverage, Unbundled Risk Management Consulting Services, Third-Party Claims Administration and Claims Consulting Services.
Approved dividends totaling $14 million to members including a special dividend to eligible members totaling $7.5 million, and a renewal dividend of $6.5 million, marking the 25^th year consecutive year that (BETARMA) returned dividends to its members.

2015

Achieved an upgrade of our A.M. Best rating to A (Excellent) with a “stable” outlook.
Revised our mission and vision statements to align with our organizational focus on patient safety and risk management.
Approved dividends totaling $16.5 million, allowing us to return dividends for almost 25 consecutive years.
Formed Alternative Risk and Insurance Services (ARIS) to market excess liability coverages, risk management consulting services, third-party claims administration (TPA) services and claims consulting services.
Obtained authorization for HealthPro to write business in Washington.
Hosted a four-track Risk Symposium focusing on high risk issues in OB, ED, OR and PFCC (Patient and Family Centered Care) and sponsored 39 webinars delivered by nationally renowned experts.
Launched a two-year Perioperative Collaborative in which eight members are participating.
Developed and launched Just Culture and TeamSTEPPS training programs, as well as a Physician Office and Clinic Practice Toolkit.

2014

Celebrated our 35th anniversary and maintained our position as the largest insurer of independent healthcare facilities in California.
Approved dividends totaling $16.5M, allowing us to return dividends every year since 1992.
Hosted a combined OB/ED/PFCC (Patient and Family Centered Care) High Risk High Reliability Symposium with more than 350 attendees.
Partnered with the California Patient Safety Organization and began hosting Safe Table meetings.
Awarded three scholarships to organizations committed to advancing Patient and Family Centered Care.
Introduced the Perioperative Collaborative set to launch in 2015, and continued the Quest for Zero initiatives in OB and ED.

2013

A.M. Best A- (Excellent) rating upgraded to “Positive” from “Stable.”
Launched the Patient and Family Centered Care (PFCC) and PFCC scholarship initiatives.
Continued the “Quest for Zero: Excellence in OB”, now in the third year of the three-year, tiered initiative. Launched GNOSIS, a cutting-edge approach enabling members to identify areas of strength and areas of opportunity for training while establishing a solid metric of performance.
Continued the “Quest for Zero: Excellence in ED” initiative with increased momentum. There are 50 hospitals and medical groups participating in the initiative, representing 68% of eligible members and insureds.
Wrote $4,080,485 in new business in BETA Healthcare Group, which consisted of $3,293,105 in BETARMA and $787,380 in HealthPro.
Developed a new Excess HCL Program for hospitals with self-insured retentions and wrote a SIR account.
For BETARMA, of the 602 closed claims, which excludes property damage claims, 509 or 85% were closed with no indemnity. For HealthPro, of the 118 closed claims, 105 or 89% were closed with no indemnity.
BETA Council declared a fourth special dividend in the amount of $10 million. Since its inception, BETARMA has declared dividends exceeding $124 million with an additional $44 million designated for future dividends.

2012

Continued to see claims frequency decline with a record low 2.1 claims reported per 100 occupied bed equivalents, almost 50% lower than in the 1990s.
Assets exceeded $500 million, with the Fund Balance over $225 million and $50 million designated for future dividends.
Continued development of the Patient Centered Care initiative with the major emphasis on the Emmi pilot at four members.
Achieved outstanding results in the Quest for Zero initiatives in with 18 members securing Tier 1 and 12 securing Tier 2 OB success and 31 members and insureds securing Tier 1 ED success.
Obtained authorization for HealthPro in write business in Oregon, Nevada and Arizona.

2011

Began offering the prefunded tail liability program to emergency medicine groups insured by HealthPro.
Restructured the obstetrics patient safety initiative, Quest for Zero: Excellence in OB, to include a tiered approach leading to 14 members meeting Tier 1 and nine meeting Tier 2.
Launched the emergency medicine patient safety initiative, Quest for Zero: Excellence in ED, in April leading to three HealthPro insureds and one BETARMA member completing the Year 1 requirements.
Co-sponsored six members in the Institute for Healthcare Improvement Perinatal Community.

2010

BETA unveils its newly enhanced website at www.betahg.com.

2008

BETA partners with Advanced Practice Strategies to improve perinatal safety and reduce obstetrical malpractice claims by helping its members purchase online education on topics such as fetal assessment and monitoring, management of shoulder dystocia and operative vaginal delivery.

2006

BETA initiates new case law in medical staff privilege litigation and introduces a risk management initiative to address high severity claims in obstetrics and emergency services. BETA creates an electronic pediatric emergency newsletter entitled Risk TX, which is disseminated to BETA and HealthPro medical groups each quarter.

2005

BETA introduces a risk management initiative to assist members in enhancing patient safety and decreasing risks. The company has a record year of growth in new business and sees its member contributions grow by $7.1 million.

2004

BETA celebrates 25 years of excellence—a legacy of leadership. BETA designs and implements a new, cost-effective reinsurance program that includes eight highly rated reinsurers from both the direct and broker markets. BETA completes a smooth transition from occurrence to claims-made coverage by implementing a comprehensive communications plan with impacted members.

2003

BETA establishes a monthly invoicing system that replaces monthly report forms. Based on positive operating results and a one-time reserve release for fiscal year 2002, BETA announces a $15 million dividend credit.

2002

BETA increases its net member contributions by 39 percent and total revenues increase 34 percent. BETA unveils its newly enhanced website at www.betahg.com. The site now has many upgraded features including additional risk management links for member education as well as an expansion of our extranet.

2001

BETA offers medical group professional liability coverage through its risk retention group, Health Providers Insurance Reciprocal, RRG (HealthPro).

2000

BETA establishes an extranet, giving members Internet access to claims and incident trending data in addition to sophisticated analytical tools and streamlined reports.

1999

The first nonprofit hospital joins the program. BETA Risk Management Authority establishes a new corporate identity, BETA Healthcare Group (BETA), to better represent its expanding membership, services and lines of coverage.

1998

Legislation is introduced to allow nonprofit hospitals and healthcare facilities to join BETA. The law passes and becomes effective on January 1, 1999.

1997

A.M. Best gives the program an A− (Excellent) rating, making BETA the first company of its type ever to be rated by the respected industry analyst. The company launches its website, expanding members’ access to forms, information and advice. BETACare is established to offer a comprehensive health and welfare benefits program to district hospitals and their employees.

1996

BETA acquires Pacific Health Providers Insurance Company (PHP) to expand the range of coverages offered to members.

1995

The BETA+ Equipment Support and Technology (BEST) program is created to cover equipment maintenance and repairs through a self-insurance pool similar to BETA.

1994

BETA establishes Health Providers Mutual Insurance Company, RRG to offer excess liability coverage to member facilities. Services are further expanded to include property, boiler and machinery, earthquake, crime and fiduciary liability coverages through a partnership with Robert F. Driver and Associates. Having been administered by a third party, BETA now hires its own staff and opens its corporate headquarters in Alamo, California.

1993

The Risk Management Resource Program is established to help fund facilities’ in-house risk management and quality improvement efforts.

1992

A risk management awards program is introduced to reward members with outstanding loss prevention programs. The Underground Storage Tank Removal Fund gives member facilities grants up to $20,000 to reduce environmental exposures by removing underground tanks.

1991

The program declares its first dividend credit due to exemplary loss experience and exceptional investment earnings. A longevity credit gives members a rate discount of up to 25 percent.

1989

Ten years since inception, the program has grown to 62 members, $24 million in annual contributions and $60 million in assets. Coverage is extended to Nevada with the participation of LiCON, a 12-member cooperative of rural hospitals. BETA Risk Management Authority becomes its own public entity, giving members greater control.

1988

Regional network meetings are introduced to help keep risk managers abreast of legal requirements and best practices.

1986

Bylaws are amended to allow counties and other government agencies to the join the program.

1979

Seventeen district hospitals become the founding members of BETA Risk Management Authority. BETA's birthday is June 1, 1979.