Paratransit Insurance Company

What Paratransit Insurance Company does

Paratransit Insurance Company is a mutual risk retention group founded in 1987 and domiciled in Tennessee, headquartered in Memphis, Tennessee. The company exclusively underwrites commercial automobile liability insurance for taxi fleets, non-emergency medical transportation (NEMT) operators, and other public auto fleet operators. Members must operate minimum fleets of 50 units and retain between $25,000 and $50,000 in risk, with Paratransit providing excess liability coverage up to $5 million in limits. The company is licensed across 25 states in the United States and manages over $40 million in invested assets.

As a member-owned mutual, Paratransit's structural differentiator is that policyholders are owners with voting rights over company operations and direct control over their own claims handling, supported by professional claims assistance from Lammel & Associates, the company's management services provider. The company maintains a community-led go-to-market through member seminars, peer referrals, and direct consultations, supplementing a website-based Excess Automobile Liability Application portal and a licensed insurance agent channel. Revenue is generated through recurring insurance premiums on multi-year contracts, with profits returned to members as dividends in years of favorable loss experience.

The business model emphasizes price stability in volatile commercial auto insurance markets, long-term member retention (multiple members have remained nearly 30 years), and operational simplicity with a lean 11-50 employee footprint. No external funding rounds, mergers, acquisitions, or technology platform developments are disclosed; the company operates as a stable, niche mutual without proprietary technology infrastructure described in available sources.

Name

Paratransit Insurance Company

Legal name

Paratransit Insurance Company

Website

https://paratransitinsurance.com

Company type

Private

Founded year

1987

Operating status

Operating

Headcount range

1–10 employees

Short description

Paratransit Insurance Company is a Tennessee-domiciled mutual risk retention group, founded in 1987, providing excess commercial auto liability coverage exclusively to taxi, NEMT, and public auto fleet operators across 25 U.S. states, with over $40M in invested assets.

Ownership category

akta.pro rank

Headquarters

HQ city

Memphis

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Operations, Personnel, Others, Marketing or Sales, Infrastructure

Revenue model

1. Commercial Auto Liability Insurance Premiums: Paratransit Insurance Company generates revenue through commercial auto liability insurance premiums. As a mutual risk retention group, policyholders become members and pay premiums in exchange for coverage. The company offers excess automobile liability coverage with limits up to $5 million and provides members with control over their own claims handling.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels3 records

Core offering

Paratransit Insurance Company is a mutual risk retention group that provides Excess Automobile Liability Insurance exclusively to taxi, non-emergency medical transportation (NEMT), and public auto fleet operators. Policyholders become member-owners of the company with control over operations and their own claims handling. Coverage limits are available up to $5 million, with a minimum fleet size requirement of 50 units.

Product overview

Paratransit Insurance Company operates as a single-product mutual risk retention group offering excess automobile liability insurance exclusively to taxi, non-emergency medical, and public auto fleet operators. The company provides commercial auto liability coverage with limits up to $5 million, allowing members to control their own claims while receiving professional support. Membership includes access to member seminars, dedicated claims assistance, and management services through Lammel & Associates. The core offering is the Excess Automobile Liability Insurance product, supported by the mutual risk retention group membership structure that gives policyholders ownership and control.

Differentiator

Problem solved

Functional benefit

Quantifiable outcome

• Price stability maintained for members over decades, with some customers reporting stable rates for nearly 30 years
• +2 more outcomes

Named customers5 records

Segments3 records

Ideal customer profiles3 records

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Two partnerships are on record, tiered core and minor.

• Lammel & Associates, LLCcoreImplementation/ SI/ Consulting PartnerLammel & Associates provides management services to Paratransit Insurance Company, including answering questions about the program, arranging consultations with current policyholders, and providing ongoing member support. The firm is described as a trusted leader in insurance that works with taxi and similar transportation fleets.
• Taxi, Limousine, Paratransit Association (now Transportation Alliance)minorOthersSeveral Paratransit members who are past presidents of the association have served as directors, including Hamilton Smythe III, W. Hamilton Smythe IV, Judy Swystun, Brian McBride, Ellis Houston, Neal Nichols, Martin Zilber, and Bill Scalzi. This represents a historical relationship through shared leadership rather than a formal partnership.

Scale indicators3 records

Expansion highlights4 records

Direct peers

• Lancer Insurance: Specialty commercial auto insurer serving taxi, livery, paratransit, and NEMT operators — directly comparable product line, customer base, and underwriting niche to Paratransit Insurance Company.
• National Interstate Insurance Company: Specialty commercial transportation insurance carrier focused on passenger transportation and fleet operators; overlaps with Paratransit in commercial auto liability for fleet customers, though at larger scale and broader product set.

Broad incumbents

• Acuity Insurance: Mid-sized regional P&C insurer with a substantial commercial auto book; competes for the same fleet-operator customers as Paratransit but across all commercial lines and multiple states.
• Liberty Mutual Insurance: Large national commercial lines carrier writing commercial auto liability for transportation and fleet customers; competes with Paratransit on the same risk classes but as part of a broad P&C portfolio.
• Progressive Commercial: National commercial auto insurer with a sizable commercial vehicle book; addresses some taxi/fleet segments Paratransit serves, but from a mass-market, multi-product position rather than a mutual niche carrier.
• Tokio Marine HCC: Specialty insurance platform writing commercial auto and transportation liability as part of a global specialty portfolio; comparable to Paratransit's excess commercial auto exposure but at significantly larger scale and across more lines.
• Markel Group: Specialty insurer with a long-standing commercial transportation and excess/surplus lines practice; competes in adjacent specialty auto liability segments relevant to Paratransit's member fleets.
• Berkshire Hathaway Specialty Insurance: Specialty P&C arm of Berkshire Hathaway writing large-account commercial auto and excess casualty; competes for the same higher-end fleet customers Paratransit serves but with substantially larger capital and broader product set.
• James River Insurance Company: Specialty E&S carrier writing commercial auto liability and excess casualty for niche commercial customers; comparable in segment focus and excess positioning to Paratransit, though broader across lines and classes.
• Great American Insurance Group: Specialty P&C insurer with a transportation division writing commercial auto for fleets; comparable to Paratransit in customer type and product, but at much greater scale and as part of a diversified specialty carrier.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• LinkedInlinkedin.com/company/paratransit-insurance

Revenue estimate

Valuation estimate

Number of profiles

Profiles10 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Paratransit Insurance Company