Time to restructure those group life programmes in hotspots

We could beat around the bush or dance around our handbags (really?) but let’s not.

If you are an adviser to larger corporates, you’ll know the score and have clients who have had single event limits aka ‘Catastrophe Limits’ imposed on your schemes.  You will have split the larger schemes between two, three or four insurers and you might even have bought eye-wateringly expensive catastrophe excess of loss top-ups.  Cat XL is the insider jargon.  

Error Type 1 in advising these clients is assuming that there is no alternative to the capacity limits that your current insurers have provided through the last two or three review cycles.

Error Type 2 would be not asking us to quote at the centre of the restructure.

Outside of what are normally considered ‘hotspots ‘, we can do £300m to £500m event limits at no extra cost.  In the hotspots - City, Canary Wharf, W1, NW1 - you can deepen your clients cover, improve the quality of the insurance counterparty and make major cost savings for the client.  If you can design out the catastrophe excess of loss top-up there are major savings to be made.