HealthCap: Risk Management & Insurance

Protecting the People Who Provide the Care.

How it began

In 1998 St. Paul Insurance Company was the largest writer of medical malpractice and senior living liability in the country. Times were good, so good that they bought their largest competitor. However, they failed to see the ominous clouds on the horizon. Premium rates had been declining for ten years and during the same time a few savvy plaintiff attorneys figured out how to enrage juries and extract multimillion dollar verdicts against senior living facilities.


By 2001, St. Paul had left the building; and premiums for senior living facilities didn’t just go up, they went through the roof.

Michael Feeney had a track record of building successful insurance operations for distressed industries. Paul Gillihan and Jack Voss, the two largest insurance agents covering Michigan senior living coaxed Michael out of retirement.

Reluctantly, Michael agreed, but on one condition. It was time to rethink everything.

Bulb Guy
Waiting Room

August 11, 2001

On August 11, 2001 HealthCap® was born as a captive facility for Michigan-based senior living facilities and became the industry solution to an insurance problem.

Rethinking everything means ...

...focusing on preventing claims before they occur with a hands-on risk management focus that puts experienced industry professionals into members’ buildings every year.

...only working with insurance agents who are also industry experts.

...never being satisfied.

...proactively managing claims to drive down claim severity.

Gears turning


HealthCap® becomes the industry solution to an insurance problem.


HealthCap® started in Michigan, but word spread fast and soon HealthCap® was in Illinois and Ohio. Before long providers from all across the country wanted to join. So HealthCap® Risk Retention Group was formed in November 2003. Within a year HealthCap® was truly nationwide.
Exceptional Financial Stability Rating
Couple illustration


HUD liability insurer
The US Department of Housing and Urban Development (HUD) made their 232 Program available to senior living facilities and created standards for liability insurers of applicants. Demotech, a leading insurance rating agency, was approved by HUD and by extension insurers with a Demotech A rating qualified to insure program applicants. HealthCap® received an A rating. HealthCap® continued to grow.


ANCC accreditation
In 2008 Risk Management Services was accredited by the American Nurses Credentialing Center (ANCC). HealthCap® risk management programs qualified HealthCap® members and program participants for continuing education credits. American Nurses Credentialing Center


Stock market collapses
Later in 2008 the stock market collapses. HealthCap®, with its high-quality investment portfolio, posts a profit—unlike most insurers.


AHCA/NCAL endorsement

In 2009 HealthCap® is endorsed by the American Health Care Association and National Centers for Assisted Living (AHCA / NCAL) as the preferred liability insurance provider.



HealthCap® is my company
HealthCap® filmed its first video where members and their agents describe why HealthCap® is their company.


25,000 visits

HealthCap® risk managers complete their 25,000th onsite visit. That’s right…over 25,000 on-site risk management visits since HealthCap® began. If you want to know why HealthCap® member claim frequency is half the industry average, just start there.


Competitors fail… HealthCap® endures

In the past ten years over 100 insurance companies tried to write liability insurance for senior living facilities. Premium rates declined because of that level of competition while the cost of lawsuits went up. The result was that 100 insurance companies stopped writing liability insurance for senior living. One bright spot has been the industry solution to an insurance problem, HealthCap®.


Resource & Education Center

Our Resource & Education Center goes open source, allowing access to the knowledge and experience of our Risk Managers to all members of the Senior Living Industry in an effort to improve resident outcomes and reduce risk overall

Healthcap 2019

By the numbers

Claim Frequency


2020 was a watershed year unlike any other. COVID-19 was the first global deadly pandemic in a century and among its primary victims were and are the elderly and infirm.

Countries across the globe struggled mightily to contain it employing a variety of strategies none of which were particularly effective. The fifty states of America also reacted in a broad variety of ways, again, none of which helped stem the impact of COVID on the vulnerable.

An elderly couple hugging with masks
Illustration of the White House

In the face of changing directives each and every day from the Centers of Disease Control and Prevention (CDC), the National Institute for Health (NIH), the Executive Branch of the Federal Government and their counterparts in fifty states, our members and the senior living industry as a whole were overwhelmed to say the least. The American Health Care Association (AHCA) had a role to play in organizing industry efforts and we at HealthCap had our role to play in helping an industry under siege put its best foot forward and provide the highest quality of care under the most extreme circumstances.

Number of publications produced



HealthCap Risk Management Responds

Our risk management partners could not directly visit facilities, but we could check in, coach, and consult. Our in-house team processed the huge volume of daily national and state directives and pushed out communiques summarizing and synthesizing what needed to be done next.

Since the beginning of COVID in March 2020, HealthCap produced over 1,000 policies, procedures, infographics, webinars, seminars, podcasts and presentations often in both Spanish and English. We made everything available to the entire industry, members and non-members alike.

Needless to say, HealthCap met a need as we have for the past twenty years.

Healthcap 2020

by the numbers

HealthCap® premiums increased in 2020 but posted a loss for the year with the added provision for claims due to industry and countrywide trends that began in 2017 and were exacerbated by the events of 2020. Insurance market conditions “hardened” in 2020 unlike any year since HealthCap’s inception in 2001 as carriers abandoned the senior living industry and capacity for senior living risk evaporated. For the few carriers that remained, premiums increased, coverage terms were restricted, and the senior living industry was faced with fewer and less attractive options.

At HealthCap, we were inspired to lean directly into the challenge our members faced. In fact, HealthCap was created just for this moment and this time. We stand by our pledge to be the senior living industry solution to an insurance problem.
Claim Frequency

The Goal.

Reduce claims frequency and severity

To reduce claim frequency and severity we are going to ask our members to focus on four areas:

Take care of your residents.

The quality of care has never been better. Thanks goes to the leadership of AHCA / NCAL and we can take some credit for our small contribution.


Take care of your families.

Relationships matter, particularly when it comes to avoiding litigation.


Take care of your staff.

They take care of your residents.


Get signed and properly executed arbitration agreements.

Facilities and families win and lawyers lose.