Benefits
Our experience at Kane has shown us that many companies can benefit from participating in a mutual insurance structure.Mutual insurance offers a flexibility and depth of coverage difficult to replicate in the commercial insurance sector. Because policyholders (members) share a common risk profile, cover is tailored to meet their unique risk management needs.
Pricing is also more stable and avoids the volatile peaks and troughs commonly associated with the general insurance market. Premiums are based on the group’s loss experience in the, rather than the loss experience of the industry as a whole.
During profitable years, either where there have been few claims or better-than-expected investment returns, excess capital is redistributed among policyholders as dividends. The rest of the profits are reinvested in the business.
Additionally, certain mutual arrangements can be set up without the initial capital investment associated with captive insurance.
The Kane team offers a comprehensive array of services covering all aspects of the mutual insurance process from the initial feasibility study, through to structuring the company and the ongoing management. By working in partnership with you, we can help you determine whether mutual insurance will benefit your organisation and then ensure that you reap those benefits to the full.