Issue link: https://nebusinessmedia.uberflip.com/i/477238
www.HartfordBusiness.com November 26, 2012 • Hartford Business Journal 25 Celebrating 20 Years of Business News INSURANCE 20 Years of introduced an enhanced card technology that combined health benefit information and financial information on a single card. Further embellishing its reputation is its presence since September 2012 on the Dow Jones Industrial Average, which focuses on the 30 most important publicly traded compa- nies on the New York Stock Exchange. Evolution of the Travelers One of the biggest stories in the last two decades was the ongoing saga of The Trav- elers. The company, founded in 1864, under- went a great evolution. In 1996, it acquired the Aetna Casualty and Surety Co. to form the nation's fourth largest property casualty company. Then in 2003 it merged with St. Paul to become the St. Paul Travelers in a tax-free, stock-for-stock deal. Analysts general gave the deal a thumbs up, noting that it came at a time of widespread insurance industry consolidation. The two companies diversity between commercial and property casualty insurance were also seen as a good fit. In 2007, the company not only got its logo back, but it also sponsored the PGA Tour's Travelers Championship for the first time at TPC River Highlands in Cromwell, and con- tinues to do so. In 2009 it became the only insurance company on the Dow Jones Indus- trial Average. ConnectiCare — the Little Company that Could ConnectiCare's history (like a lot of com- panies) extends beyond the history of the Hartford Business Journal. But during our shared history, it saw a lot changes in its last two decades. As its website recounts, ConnectiCare was incorporated in 1981 as a non-profit, Con- necticut-licensed health maintenance organi- zation in Farmington. The company reorga- nized in July 1999 to become a for-profit stock corporation. It recapitalized in 2001 and was investor-owned from 2001 to 2005. (Connec- tiCare's conversion process resulted in the creation and funding of the largest indepen- dent health foundation in the Northeast, The Connecticut Health Foundation.) In March 2005, ConnectiCare was acquired by the Health Insurance Plan of Greater New York (HIP). As part of the HIP family, ConnectiCare continues to conduct business autonomously under its own brand and its locally based manage- ment tea. HIP Health Plan of New York is the largest HMO in New York City. HIP is a large provider of health insurance cover- age for New York State, federal employees, and labor unions. MetLife Acquires Traveler's Life & Annuity In July 2005, MetLife acquired Citigroup's Travelers Life & Annuity and substantially all of Citigroup's international insurance busi- nesses for $11.8 billion. It was an acquisition that had Hartford on pins and needles as job security became a prime issue. The acquisi- tion was approved by the State Insurance Department with the requirement that a mini- mum of 1310 jobs in Hartford for one year. According to the Insurance Journal, "MetLife initially said it would eliminate 600 jobs and relocate an additional 100. Following negotia- tions with Gov. M. Jodi Rell, it later said the cuts would amount to 390, with another 100 jobs to be relocated." Rowe Steps Down After Successful Tenure Aetna Chairman and CEO John W. Rowe, M.D., 61, retired at the end of 2006. Dr. Rowe, who has served as the company's chairman since April 1, 2001 and CEO since Dec. 13, 2000, was executive chairman at his retirement. When he announced his retirement in February 2006, Dr. Rowe was entitled to brag a little bit. "By any measure, Aetna has exceeded the expectations of all our con- stituents. By focusing on the needs of our customers and delivering value to them, we have seen Aetna's market value increase by more than $23 billion since its low point in 2001," he said. "Our solid financial perfor- mance, broad-based membership growth and ability to innovate on behalf of our customers have created a solid platform for continued growth. Our clinical and product innovations have had a demonstrable positive impact on the health care system." Insurance Companies Join Together To Promote Themselves The insurance industry in Hartford wasn't going to let it get sand kicked its face by Iowa of all places. In June 2006, nine top insurers banded together to make sure Hartford kept its hard-earned nickname as the Insurance Capital of the World (or as the Boston Globe's Bob Ryan said during the whole Patriots relocation snafu, "The Filing Cabinet of the World"). Simply put, the companies were feeling unappreciated by state and local leaders. Iowa had kicked off a campaign in 1990 that by 2006 had resulted in a net of 8,000 insur- ance jobs. During the same time frame, Con- necticut lost 17,000 insurance jobs. Deborah Hoyt, a public affairs exec at the Aetna, said at the time, "We all think it's important to support Connecticut's econo- my and community." She said the campaign would focus on the role the insurance indus- try plays in local philanthropy and commu- nity service, as well as high-paying jobs. "It's really cool that local kids can make a career right here in their backyards," she added. – Keith Griffin Agency: Denneen & Company Attn: Frank Endom T: 301-916-9548 Natalie Stokke Gauthier T: 617-236-1300 222 Berkeley St. Boston, MA 02116 Client: Hinckley, Allen & Snyder Our years of bankruptcy experience can help minimize the potential negative impact on you from the fi nancial problems of another business. At Hinckley, Allen & Snyder, we've advised clients through economic downturns before. Take advantage of our experience. Remember us when you or your company needs solid, practical legal advice. Thomas S. Marrion, Corporate and Bankruptcy Group Partner Practicing law with our sleeves rolled up. ® BOSTON · PROVIDENCE · HARTFORD · CONCORD · ALBANY www.haslaw.com Banking & Financial Institutions · Bankruptcy, Creditors' Rights & Workout Construction & Public Contracts · Corporate & Business Employee Bene ts & Executive Compensation · Environmental · Health Care Intellectual Property · Labor & Employment · Litigation · Municipal Restructuring Real Estate · Tax · Trusts & Estates · White Collar Defense & Government Investigations