Alternative Risk Financing
More robust risk finance strategies equals more resilient organizations. As companies seek broader customization and tailored flexibility for a growing number of risk scenarios, Newfront offers guidance to help our clients make informed decisions around alternative risk financing solutions.
Our approach
With any structural change, it’s critical to ensure premium savings are commensurate with the additional risk assumed, at the very least. We lean in to help you assess and weigh your options.
Know the players
We maintain strong relationships with a variety of non-traditional capital sources with appetites for financing corporate risk.
Outline the possibilities
While the landscape is constantly changing, we deeply understand the opportunities and propose alternative risk financing solutions aligned to risk management needs along with potential utilization scenarios.
Analyze the options
We quantify both the fixed and frictional costs associated with the formation of captive or other structures, articulate funding requirements, and outline structural opportunities.
Propose optimal strategy
Finally, we make a recommendation and lay out the best possible structure alternatives, tailored to your business needs and risk appetite.
The Newfront difference
Robust and unique solutions
From single parent captives to integrated risk solutions, we have expertise providing access to both traditional and non-traditional sources of capital and risk financing solutions. Our access to diverse range of offerings includes:
Captive solutions
Risk retention groups
Parametric or event-based insurance offerings
Multi-year single limit (MYSL) solutions
Integrated risk solutions
Loss portfolio transfers
Managing general agency (MGA) programs
Alternative Risk Financing
Leveraging a Captive
Escalating costs and tighter coverage restrictions across a variety of industries and product lines are driving an uptick in captive utilization. An alternative risk financing tool, can provide improved cost management and insulation from market volatility, customized coverage, greater control in claims handling, and long-term stability. Our team is well versed to assist on a variety of captive solutions, including:
Single parent captives
Group captives
Cell-captives
Employee benefits captive
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