November 21, 2007

Centurion Moving To The Big Apple

As part of Centurion's restructuring plans the company will be moving its head office back to New York this move is to intergrate the company's clientele internationally.

As part of Centurion’s merchant banking activities the company will securitize most of the loans that Centurion originates or will act as arranger for new debt issuers. A large number of repackaging transactions will be privately placed, rather than involving the issue of securities in the public market. We will generally structure the transaction to meet investor preferences and financing needs with their loan portfolios. In particular they will be used to reduce credit exposure against losses from reference obligators, in essences to free up regulatory capital.

November 07, 2007

Regent Hills Officially becomes a part of Centurion Health Corporation

Regent Hills has become apart of Centurion Health Corporation international expansion plans. Regent will be reincorporated to reflect its new ownership.

October 24, 2007

Centurion to take over the proposed Regent Hills project a $154 Million Dollar surgical facillity to be built in Canada

Regent Hills Health Centre (RHHC) a new name for the centre will be revealed this spring is a new concept in Canadian Health Care. It is a structured finance model, with no public subsidization. That will optimizes patients’ lives by responding to their need for wellness in an holistic fashion. It is also a business solution for the Canadian health care system and insurance companies. Providing rapid response to the need for state of the art surgical space/expertise, RHHC offers a greatly reduced wait time for clients. For some, this means an earlier return to work, for others a timely release from pain, for all it will be an holistic approach to healing. The positive spin-offs in terms of patient care, business efficiency, training and education for the medical profession and overall regional economic development are enormous.

Regent Hills Health Center will provide specific medical services which must be profitable as stand alone businesses. The Company will manage the support services and facilities as individual business units - each with unique revenue and cost strategies. Quality control and quality assurance programs will be integrated amongst the business units and monitored by management, in conjunction with, the Company’s Medical Advisory Committee. While the business units complement one another, the intent of individual management of the unit is to optimize economic performance within each unit. All such activities, however, integrate into a much larger picture, one of which the company foresees developing into a portfolio of fully integrated and comprehensive health care services.

multi-specialty health organization, committed to delivering high quality synergistic health care solutions, which provides professional excellence utilizing leading edge medical technology facilities and evidence based knowledge.

Regent Hills Health Centre:

l Committed to innovation and excellence inpatient & client centered care.

l Provides integrated and comprehensive health care solutions.

l Provides access to state of the art Surgical and therapeutic

equipment and treatment modalities currently not available to Canadians.

l Established health care standards which exceed market and

professional regulations and expectations.

l Supports continued opportunity and education for both

professional and support staff.

. Integrates with local community.

. Supports clinical research.

October 23, 2007

Melvin J. Howard to Restructure CENTURION HEALTH CORPORATION to become a boutique merchant bank for the health care Industry


Health care needs have changed. Worldwide pressures for increased spending stem from technological and demographic changes, such as an ageing population, changing disease patterns and an increase of immigration in most developed countries. At the same time, the need for high technological health care facilities has increased in recent years and is expected to continue to do so in the future. In most under developed and some developed countries access to such facilities is limited at best.

Demand for state of the art medical facilities continues to rise, however many countries worldwide lack the ability to provide certain capital-intensive medical technologies and services. Centurion Health Corporation will establish partnerships with community hospitals, regional medical centers and academic teaching hospitals internationally to provide access and management service for life saving medical facilities. The role of private foreign capital in developing countries has increased sharply in the past ten years, because of higher returns, risk diversification, financial deregulation, advances in technology, availability of diverse financial instruments, and the globalization of financial markets.

Yet, access to basic health services has remained stagnant for the past 20 years. Private participation with government incentives in health infrastructure must increase, if we are to stop the suffering and deaths that occur needlessly because of the lack of or limited access to basic health care services. Centurion Health Corporation has taken its cues from the World Health Organization. Many countries in both the developed and developing world routinely make use of private provision, particularly for health services, where private practice and private hospitals are widespread in addition to public providers. Moreover, public policy and funding functions are separable from provision of the service. Governments thus have the option to tap private initiative, while providing funding to deal with affordability concerns. Private provision is thus one of the tools for governments in their effort to build out social service systems that provide universal access.

These are just some of the objectives of Centurion Health Corporation. Our goal will be to improve access to high tech surgical and medical facilities on an international basis by:

§ Designing the expansion of international collaborative projects, that contributes to the integration of public and private health care service delivery mechanisms.

§ Generating fundamental long-range cost planning models to improve the health status of historically medically underserved populations.

§ Using information systems to collect performance statistics, from various caseload data, which will allow us to provide appropriateness for quality of care and outcomes of care, to physicians, hospitals and governments.

October 22, 2007

Governor Arnold Schwarzenegger writes to Melvin J. Howard opposing Bill 840

From: Tuesday, October 10, 2006 9:03 AM To: Melvin J. Howard
Subject: Re:Senate Bill 840

Thank you for sending me your email opposing SB 840. Hearing from my fellow Californians is very important to me as I work to improve our great state.
After extensive and thorough deliberation from proponents and opponents of this issue, I have decided to veto this bill. Socialized medicine is not the solution to our state's health care problems. SB 840 would have required an extraordinary redirection of public and private funding by creating a vast new bureaucracy to take over health insurance and medical care for Californians. Such a program would have cost the state billions and led to significant new taxes on individuals and businesses, without solving the critical issue of health care affordability.

I want to see a new paradigm that addresses affordability, shared responsibility and the promotion of healthy living. I look forward to working with the Legislature in 2007 to develop a comprehensive approach to health care that not only provides affordable medical treatment to people when they are ill, but also strives to make sure people do not get sick in the first place. This approach should support cost containment and recognize the shared responsibility of individuals, employers and government.

As part of this comprehensive approach, I have worked hard to address preventative measures, such as fighting obesity by signing legislation that bans junk food and sugar-laden drinks in public schools. On the question of access, I've made children's coverage a priority, resulting in nearly a quarter million additional children covered by our Medi-Cal and Healthy Families programs. Most recently, I reached an agreement with the Legislature to provide discounts on prescription drugs of up to 60 percent for our most vulnerable citizens.

Thank you again for writing to me. Your active participation in the democratic process will help ensure a brighter future for California.


Arnold Schwarzenegger

June 04, 2007


Self Insurance for Physicians and Private Hospitals

By Melvin J. Howard


A Captive is an insurance company established (generally in a tax neutral jurisdiction) which is owned by one or more non-insurance organizations to underwrite the risks of those particular owners. A variant is an 'Agency Captive’, which is owned by independent agents who wish to participate in the underwriting results of the business they produce. A Captive can also be owned by a number of unrelated companies from within a particular industry , by a number of unrelated companies from different industries or by a trade or industry association (an Association Captive) i.e. Physician group to insure the risks of the group owners or association.

For this proposes you can use a Rent-a-Captive program. A Rent-a-Captive is an independently owned and operated insurance company that allows unrelated companies to use or "rent" its capital, surplus and corporate structure to enable those companies to participate in the underwriting results of the risks they insure into the Rent-a-Captive. Companies interested in utilizing a Rent-a-Captive include associations and independent agents. The Rent-a-Captive performs on a "turn-key" basis the same functions and achieves the same goals as a Captive insurance company, but the association or group ("lessee") does not own, control or capitalize the Rent-a-Captive.

The costs of capitalizing and operating a Captive insurance company (usually on an after tax basis) are typically higher than utilizing a Rent-a-Captive. Operating a Captive also requires more management time than participating in a Rent-a-Captive. Furthermore, programs in a Rent-a-Captive are much easier to exit than a Captive which requires formal liquidation or sale. In summary, participation in a Rent-a-Captive eliminates the substantial organizational requirements and the need to commit funds for capitalization.


The advantages of using this program include the following:
i) the ability to participate in underwriting profits as a individual basis;

ii) the ability to purchase insurance related services on an unbundled basis;

iii) the ability to determine levels of risk assumption;
iv) the ability to reduce and control costs;

v) the ability to carry less administrative and legal costs than those passed on by the insurer;

vi) the ability to earn investment income on premiums paid; and
vii) To accumulate investment income on premiums received.
viii) The elimination of the reimbursement agreement between the bank and obligor (SPE).
ix) Tailor made policies for a particular coverage that is unavailable or in this case unacceptable priced in the commercial market
x) no feasibility study
xi) proof of coverage
xii) flexible operating covenants
xiii) easily can be incorporated into the preliminary official statement

Features of Rent-a-Captive

The primary cost reduction factor is the element of risk retention held by the group. Under a Rent-a-Captive structure, the association or group retains a portion of its own risk at a level mutually acceptable to both the association or group and the Rent-a-Captive. In the event of a loss or in this case default on the principal and interest payments due the note holders the association or group is responsible to pay claims up to that retention level. However, by "self-insuring" to this retained limit, the association or the group reduces its premium costs because the cost of obtaining coverage for limits of insurance above the retention is less than purchasing insurance that attaches at the first dollar of loss., i.e. without any retention. These reductions in costs take place over time and are generally not applicable to the association or group.
Risk Management
Risk management, or loss control, plays a major role in the Rent-a-Captive structure and provides a means for further cost reduction for the association or group. Good loss experience is reflected in the rates to participate in the Rent-a-Captive. By employing effective loss control measures at the association or group, you can reduce your insurance exposure thereby potentially increasing underwriting profits available to the association or group and, at the same time, keeping premium costs down. You can also benefit from risk management by improving loss control. A reduction in loss costs should result in increased funds available for investment to offset future claims.
Participation in Rent-a-Captives
There is no specific formula for determining who should participate in a rent-a-Captive program. However, the program is generally suitable to organizations having total annual premium costs in excess of $1,500,000, for agents who can direct a book of business in excess of $5,000,000 and for groups or associations having total annual premium costs in excess of $1,500,000.
Under a typical rent-a-Captive program, an insured or agent obtains primary insurance coverage from a direct insurer. The primary insurer will then cede, or transfer, to the rent-a-Captive a portion of the primary insurance coverage in an amount equal to the limit that the insured wishes to retain itself. The net premium received by the rent-a- Captive from the primary insurer for the risk transferred is tracked in a "separate account" maintained by the rent-a-Captive on behalf of the insured. Each entity in the rent-a Captive Program purchases an account certificate (the "Certificate") for a specified sum ("Purchase Price").

Distributions to your association or group
In the event a the association or group cell produces a profit (i.e. premiums plus investment income exceed losses and program expenses), distributions to the association or group are made pursuant to an Accountholder Agreement entered into between the association or group and the rent-a-­Captive. The association is entitled to a portion of the undistributed underwriting profit and investment income earned, to be paid at specific intervals as set forth in the Accountholder Agreement. Timing for distribution payments is typically agreed in advance between the association or the group and the rent-a-Captive, and the first such payment is not expected to be made prior to 24 months following the effective date of the Agreement. If you would like to know more about the Rent a Captive program feel free to contact the writer.