Alternative Risk Transfer, Risk Management Consulting

Captives – Risk Retention Groups – Trusts

M&A has assisted in the formation stage through the operational stage of over 100 alternative risk transfer mechanisms, including captives, risk retention groups, self-insurance funds, workers’ compensation trusts. This work includes 50 section 831(b) “small captives” and six risk retention groups.  We also provide ongoing operational consulting services after the formation is completed. 

Our formation work typically includes feasibility studies which:

• Estimate prospective claims costs related to the liability and property exposures of the parent and comparing the estimates to benchmark rates charged in the competitive market.
• Make recommendations related to rates, excess insurance/reinsurance structures, limits, retentions and coinsurance percentages.

Our ongoing alternative risk transfer services include:

• Preparation of loss cost and rate studies for the applicable exposures and proposed coverages.
• Development of rates, rate structures, and rating rules, including experience rating and retrospective rating plans where applicable.
• Preparation of financial projections based on the proposed rates, budgeted expenses, and anticipated claims under various scenarios.
• Assistance with decisions related to the appropriate level of capitalization.
• Preparation of actuarial information for reinsurance submissions and negotiating with reinsurers.
• Participation at steering committee meetings.
• Assistance with development of risk management protocols.
• Market studies of overall rate levels and rate factors charged by traditional insurers.

For more information please contact:

Alternative Risk Transfer News:

• GAO Report Encourages Clarification of Risk Retention Law
• Merlinos & Associates at the SIIA Executive Forum
• Merlinos & Associates at the World Captive Forum
• Derek Chapman Approved as Captive Insurance Actuary in Nevada
• Merlinos & Associates Sponsors Tennessee Captive Insurance Association Conference
• Mark Brannon to Attend Delaware Captive Insurance Association Fall Forum
• Mark Brannon, Meg Glenn to Attend Kentucky Captive Association Conference
• Rosemary Wickham to Attend Captive Insurance Council of the District of Columbia Annual Conference
• Mark Brannon to Attend Delaware Captive Insurance Association Fall Forum
• Merlinos & Associates Sponsors Tennessee Captive Insurance Association Conference
• Meghan Brown, Leigh Gilbert Attend Nevada Captive Insurance Association Annual Conference
• Mark Brannon, Greg Fanoe to Attend Vermont Captive Insurance Association Annual Conference
• M&A Approved as Captive Insurance Actuary in Utah, Island of Nevis
• GOP House control might lead to changes on credit scoring, offshore tax hikes
• Mark Brannon, Meg Glenn Attend Kentucky Captive Association Conference
• Mark Brannon, Greg Fanoe Attend the Vermont Captive Insurance Association Annual Conference
• Risk retention groups possibly to start offering property insurance