MedPartners In Insurance Agreement With AIG Unit

MedPartners, Inc. says it has entered into an excess insurance agreement with National Union Fire Insurance Company of Pittsburgh, PA. National Union, part of American International Group, will assume financial responsibility for the defense and ultimate resolution of securities litigation filed on behalf of certain purchasers of MedPartners' common stock. The insurance company has agreed to provide MedPartners' excess insurance coverage beyond the company's existing D&O coverage with respect to the shareholder litigation.

Mac Crawford, chairman and CEO of MedPartners, said, "We are pleased to have obtained this coverage from National Union. The excess insurance agreement allows MedPartners to put the uncertainty and contingent liability of this body of litigation behind us and move forward knowing that this litigation presents no material adverse financial risk to the company."