I–RE
Reinsurance Firm—Highly Commended
The solution the mid-market has been waiting for
“All our clients have one thing in common. They tell us they hate buying insurance,” says Andy Jeckells, co-chief executive officer of I–RE. The question is, why?
“With wide appetite for risk, and premiums as low as $250,000, RE–PAID is the first alternative risk transfer plan designed specifically for the high performing mid-market businesses.”
Andy Jeckells
I-RE
For clients, finding affordable commercial insurance is hard enough at the best of times, let alone now, when they’re facing rising prices in a hard market. For those with big premiums, but consistently low loss ratios, increases in premiums are particularly difficult to swallow.
Although they’d rather take the risk (and the premium) themselves, they can’t because they don’t have the same scale as the Fortune 1000 or publicly traded companies that have used their captives to do just that for years. In the traditional insurance market, the ability of insureds to influence their insurance spend is limited to increasing inequitable deductibles or lowering limits to the point where they run the risk of being underinsured.
This most acutely impacts high-performing insureds. These businesses have invested significant time and resources to eliminate losses and remain competitive. Many have proven track records of little or no losses but are still stuck participating in the traditional insurance market alongside everyone else with loss histories that are far worse. Effectively, they’re subsidising less well-run firms, and they know it. No wonder they say they hate buying insurance.
Of course, they’d rather take control of their own risk, have a genuine say in their own claims, and take a share of their own premiums, but the traditional market just doesn’t allow them any say in the matter. So, what is the alternative? How can they be the master of their own destiny? That’s where I–RE can help.
Stop losing out
I–RE understands these problems, and believes in empowering business owners to take on their own risk and earn the significant rewards of doing so. We have developed RE–PAID, the world’s first programme designed to let high-performing small and mid-market businesses participate in their risk and premiums on their own terms.
In collaboration with the insured’s broker and captive manager, I–RE and RE–PAID provide a turnkey, all-in-one, integrated solution to empower business owners to take risk, and earn reward, on their own terms.
1. Get a quote for insurance
With wide appetite for risk, and premiums as low as $250,000, RE–PAID is the first alternative risk transfer plan designed specifically for the high performing mid-market businesses.
I–RE underwrites a wide range of property and casualty coverages including, but not limited to, workers’ compensation, auto and general liability, with property coming very soon.
The intent is always to replicate the insured’s current insurance programme. By matching policy wordings, deductibles and market premiums the client is able to have the same A-rated coverage as they have had in the past and gain all the benefits of captive ownership that have been enjoyed exclusively by large businesses for years.
Through a simple appointment process, I–RE pays commissions as usual, on gross written premium, and works with the insured’s broker to service the insured in the same fashion as the traditional market.
This simple and familiar approach allows brokers the ability to combat the challenges of the hard market and retain their most valued insureds (as well as go on the offensive prospecting for new business) without having to sacrifice revenue, change their service offering, or take a diminished role with their trusted insured relationships.
2. Get a captive for reinsurance
The structure is simple and transparent: clients are able to select the amount of risk that they are comfortable taking, by line of coverage, which can be adjusted each year. With integrated one occurrence and aggregate stop loss reinsurance limits, the insured always knows the maximum potential for loss, allowing them to match their captive retention with their individual risk tolerance.
Taking this even further I–RE also provides an inbuilt mechanism to novate liabilities after five years, so that clients know not only exactly how much their total exposure is, but for how long they could be exposed.
This revolutionary product provides captive managers with the ability to finally provide commercial property and casualty insurance coverage on A-rated paper to their broker network and existing captive clients.
With integrated third-party claims adjusters, risk distribution, and integrated collateral models RE–PAID also takes almost all the heavy lifting off the captive manager, allowing them to easily integrate the programme into their existing service offering and increase revenues.
3. Get RE–PAID
In exchange for the risk that the client elects to retain, their captive is paid a significant reinsurance premium. As the captive insurance company is wholly owned by the insured (it is not a group captive) they are able to retain 100 percent of their underwriting profit, even further incentivising these high-performing businesses to better improve their loss ratio and risk management programme.
In addition to the substantial reinsurance premium, RE–PAID provides insureds with far greater control over their own claims (reducing coverage disputes over policy wording) and expert independent counsel, finally aligning the interests of the insured business, their captive insurance company, and the A-rated carriers that I–RE underwrites for.
If you don’t do this, your competitors will
With RE–PAID, for the first time, high-performing mid-market businesses can now truly take control of their insurance programme.
Independent brokers can now offer a true captive solution to their most valuable clients, without the fear of loss revenue or a diminished role. Captive managers can finally access turnkey solutions for A-rated paper, without having to worry about fronting, reinsurance, or risk distribution.
The current hard insurance market is making coverage even less affordable and harder to secure. That’s why RE–PAID is the perfect solution for clients with a strong loss ratio and risk mitigation programme in place.
Why would they want to keep on paying large premiums in return for little reward? With I–RE and the RE–PAID product, you can now help them to stop losing out. To take control of their risk and profits. And, if you don’t, your competitors will.
Andy Jeckells is co-chief executive officer of I–RE. He can be contacted at: jex@i-re.insure
