AIB presentation€¦ · AIB presentation 14 October 2015 . Background 2002 4 Sep 31 Dec Ansvar...

AIB presentation 14 October 2015

Background

2002

31 Dec 4 Sep

Ansvar

‘notice’

1 Dec

2010 2011 2012+

ACIB forms

22 Feb

Quake! Quake!

Ansvar

quits EOB

Ansvar

appointed

Alternative

‘slip’ filed

9.30am

Period

renegotiating

claims

Relationship

issues emerge

Placement management

Then Current

Anglicans & Methodists 100% London placement

Small denominations - a range of placements - wherever they could find it

Anglican, Methodist & Baptist 50% London / 50% NZ Small denominations 100% NZ placement with reduced deductibles

Claims management

• ACIB campaigns have raised risk awareness (particularly arson) and risk reduction.

• Claims (London placement) to date have only been from Baptists (largely flood related).

• Baptists have now raised their retention to $250K (was $100K) to reduce likelihood of claims.

Portfolio Exposure (31 Dec 2014)

Total ($M) London ($M)

All Risks

$3,200 $1,400

Catastrophe

$2,900 $1,250

Premium

$4.8 $2.1

Premium (2014)

$-

$200,000.00

$400,000.00

$600,000.00

$800,000.00

$1,000,000.00

$1,200,000.00

$1,400,000.00

$1,600,000.00

$1,800,000.00

Anglican Baptist Methodist Other

Premium (total)

Premium (London)

$-

$50,000.00

$100,000.00

$150,000.00

$200,000.00

$250,000.00

$300,000.00

$350,000.00

Claims (2014)

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Baptist Methodist Anglican Total

2014 Premium

2014 Claim

Present activities

• NZ placed business: Negotiating an MGA with QBE

• London placement: Our objective is to extend for 4 months (terms to be negotiated by our broker)

What is an MGA? – usual placement

Placement though broker

AIB

Insu

red

Bro

ker

Insu

rer

Phase

Diocese, Trust, School

AIB

Broker

Insurer

Insured

AIB

Insurer

Insured

PREMIUMSCLAIMS

Settlement on Smaller Claims

Larger Claim

Settlement

What is an MGA? – MGA placement Placement though MGA

AIB

Insu

red

Bro

ker

Insu

rer

MG

A

Phase

Diocese, Trust, School

AIB

Insurer

Insured

AIB

Insured

PREMIUMSCLAIMS

Settlement on Smaller Claims

Larger Claim

MGA MGA

Settlement

PROFIT SHARE

PROFIT SHARE

What is an MGA? – Enhanced MGA Placement though MGA

AIB

Insu

red

Bro

ker

Insu

rer

MG

A

Phase

Diocese, Trust, School

AIB

Insurer

Insured

AIB

Insured

PREMIUMS

CLAIMS

Settlement on Smaller Claims

Larger Claim

MGA MGA

Settlement

PROFIT SHARE

PROFIT SHARE

Charities

Broker

PREMIUMSCLAIMS

Future planning

• May 2016 – complete MGA with Lloyds – London & NZ placements

– MGA available to other NZ charities

• Aspirational 2017 goal: – Anglican & Methodist (& possibly others) will have

matured arrangements to a point where a $NZ 1M deductible is applied to placement