Easy-to-use-and-understand reference explaining the various
funding options for your organization’s risks. Excellent resource for
state-specific regulations.
Risk Financing is an easy-to-use-and-understand reference
explaining the various risk finance options for any organization's
liability and workers compensation risks. It covers all the alternatives with
cutting-edge analyses and explanations of traditional insurance rating plans
and alternative market options. This includes experience rating, dividend
plans, retrospective rating, deductible plans, self-insurance, pooling
arrangements, risk retention groups, captive insurance, fronting,
reinsurance, and even risk securitization. It is the best online resource
available for state-specific regulations.
Risk Financing lays out all the steps necessary to perform a
systematic evaluation of risk finance options from loss forecasting to net
present value analysis of the alternatives. It includes many useful factors
and formulas to help, including loss development factors and claims cost
(Masterson) indexes, which are updated annually. Because we keep it current
for you, it can eliminate any uncertainty you may feel about which of the
many alternative plans is best for your organization or client. It will also
provide invaluable insight for fine-tuning any existing program.
Risk Financing covers these topics and more!
- Risk Quantification
- Basic Loss Forecasting Methods
- Measuring Loss Development
- Risk Assessment Using Probability and Statistics
- Risk Retention
- Maximum Possible Loss and Probable Maximum Loss
- Cost of Capital and the Time Value of Money
- Loss Sensitive Insurance Plans
- Retrospective Premium Factors
- The Alternative Market
- Basics of Reinsurance
- Tax and Accounting Implications of Risk Financing
- Plan Evaluation
- General Liability and Auto Liability Loss Development Factors
- Workers Compensation Loss Development Factors
- Includes Newsletter: Risk Finance Perspectives
Risk
Financing TOC
Agents, Brokers, and Account Support Staff
- Evaluate and improve the programs currently used by your
clients.
- Equip yourself to point out the disadvantages of self-insurance
pools, group captives, and other alternative markets that may not be the
best choices for your clients.
- Keep up with developments in the alternative market, compare plans,
and choose the most cost-efficient option for your insureds.
- Forecast future losses so you can make apples-to-apples comparisons
of your insureds' options.
- Help your clients study the feasibility of self-insurance or a
captive.
- Point out tax and accounting issues with risk finance options that
your clients should address with their accountants.
- Help your clients prepare a request for proposal (RFP) to select the
best possible third-party administrator (TPA).
Risk Managers, Financial Executives, & Insurance
Buyers
- Evaluate and improve the programs currently used by your
company.
- Keep up with developments in the alternative market, compare plans,
and choose the most cost-efficient option.
- Forecast future losses with confidence to enable apples-to-apples
comparisons of your options.
- Study the feasibility of self-insurance or a captive.
- Understand the advice you get from brokers, consultants, accountants,
and actuaries.
- Speak knowledgeably with your accountants about the tax and
accounting implications of your alternative risk finance options.
- Prepare an RFP that will help you select the best possible TPA.
Underwriters
- Evaluate and advise on improvements to the programs currently used by
your clients.
- Benchmark your internal loss development factors (LDFs) against the
annually updated industry LDFs.
- Employ the Masterson Indexes in your loss forecasting model.
- Keep up with developments in the alternative market, compare plans,
and advise agents/brokers and insureds on the most cost-efficient
option.
- Understand how tax and accounting practices may affect the
acceptability of your proposed programs.
Consultants
- Evaluate and advise on improvements to the programs currently used by
your clients.
- Use the annually updated LDFs and Masterson Indexes in your loss
forecasting models.
- Keep up with developments in the alternative market, compare plans,
and advise clients on the most cost-efficient option.
- Study the feasibility of self-insurance or a captive.
- Properly consider the tax and accounting implications of the
alternative risk finance programs you recommend.
Your purchase of Risk Financing includes access to
Contractor's Guide to OCIPs, a handy reference that
provides guidance on 39 issues contractors should consider when
accepting coverage through a wrap-up or controlled insurance program.
This publication was prepared by the OCIP Task Force of the AGC of
America.