Who: $6.5 Billion New York Based Wealth Manager and PE Fund

THE RISKS: After a series of meetings with the Risk Manager, we talked about the direction of the firm and what was ultimately of concern to their operations team from an insurance perspective. Driving down cost was important as was improving the quality of the D&O coverage.

INITIAL CONCERNS: The prospective client requested that we seek competitive alternative options to their current program for the basis of comparison for their upcoming renewal. Upon execution of an NDA, we called the insurance marketplace to determine who had seen and previously underwritten the risk. Much to our clients’ dismay, and rightfully so, most of the insurance marketplace had never seen any underwriting materials on the company. This meant that there never was a competitive process nor any opportunity to fully gauge how the market had

moved from a coverage or price perspective. We then reviewed the primary policy form and identified numerous coverage gaps which needed to be addressed. Prior to renewal, we approached the insurance marketplace and negotiated extremely competitive renewal terms.

Outcome:  The $15,000,000 insurance program was structured with two (2) carriers: $10,000,000 and $5,000,000 respectively. In order to minimize the primary carriers overall exposure, we opted to build the program in layers of $5,000,000

By doing this we procured lower retention options as well as much lower primary premium indications. We added numerous coverage enhancements including informal regulatory investigations, cost of corrections and pre-claim coverage all while cutting costs over (37%).

We provided relevant peer data and discussed utilizing the savings to procure more coverage as we felt they were under-insured and should be carrying more protection.

OUR TAKE:  Whether at renewal or when marketing new business, our approach remains the same. Consultative and always with our clients interest in mind.