organisations that form part of the American Psychiatric Association professional liability programme.

The entities acquired by the Bermuda insurance company include a Barbados insurance company, an onshore risk retention group and Professional Risk Management Services, Inc., a Virginia based managing general agent with special expertise in behavioural health care liability and risk management.

PRMS is responsible for the marketing, underwriting and claims administration associated with the professional liability programme.

Mutual Risk's subsidiary, Legion Insurance Company, has been the programme's primary insurance carrier since 1988 and will continue to issue coverage for the programme.

The American Psychiatric Association, the grantor of a trust that previously owned the acquired companies, will continue to support the programme by offering its endorsement.

"We're excited to back this quality programme with the considerable resources of Mutual Risk and Legion Insurance Company,'' said Robert Mulderig, Chairman and Chief Executive Officer of Mutual Risk.

"As owners of the programme, we hope to expand and enhance the operation in the years ahead.'' The terms of the acquisition were not announced.

Mutual Risk Management Ltd. provides risk management services to clients in the United States, Canada and Europe seeking alternatives to traditional commercial insurance for certain of their risk exposures. Mutual Risk Management Ltd. Common Shares are listed on the New York and Bermuda stock exchanges.