insurance case study lowering premiums and building your wealth
DESCRIPTION
IN THE BEGINNING (CONT.) THE CLIENT ALSO PURCHASED EXCESS LIABILITY WITH LIMITS OF $3 MILLION EXCESS OF $1 MILLION AND PAID ANOTHER $400,000 FOR THAT POLICY.TRANSCRIPT
INSURANCE CASE STUDY
LOWERING PREMIUMS AND BUILDING YOUR WEALTH
IN THE BEGINNINGTHIS CONCEPT APPLIES TO ALL TYPES OF BUSINESSES, HOWEVER THIS CASE
STUDY INVOLVES A DEVELOPER INVOLVED IN COMMERCIAL, MULTI-FAMILY AND SINGLE FAMILY HOME DEVELOPMENT.
WHEN THE CLIENT INITIALLY CONTACTED MPR-FINTRA, INC. THE BUSINESS WAS PAYING A PREMIUM OF $1.5 MILLION FOR COMMERCIAL GENERAL LIABILITY LIMITS OF $1 MILLION/2 MILLION.
IN THE BEGINNING (CONT.)
THE CLIENT ALSO PURCHASED EXCESS LIABILITY WITH LIMITS OF $3 MILLION EXCESS OF $1 MILLION AND PAID ANOTHER $400,000 FOR THAT POLICY.
IN THE BEGINNING (CONTINUED)
THE CLIENT WAS PAYING A TOTAL PREMIUM OF $1.9 MILLION A YEAR FOR LIABILITY COVERAGE
AND
THE CLIENT HAD A PILE OF RECEIPTS AND NOT ASSETS TO SHOW FOR THE PREMIUMS PAID!
THE CLIENT HAD LOW LOSS RATIOS AND WAS BEING PENALIZED BY THE INSURANCE
INDUSTRY
MPR-FINTRA, INC DESIGNED A PROGRAM FOR THE CLIENT, AND
THE CLIENT IMPLEMENTED IT.
AT THE END OF A FOUR YEAR CYCLE, THE CLIENT NOW HAS $7.5
MILLION IN CASH ASSETS & ACTUAL OUT-OF-POCKET
PREMIUMS HAVE BEEN CUT TO $675,000
COVERAGE/PREMIUMS/ASSETS
Really Good NewsThe client entered the program when the
development business was “hot.” The developer kept building up their own surplus assets to the point that their out-of-pocket
premium expenses are now 1/3 of what they previously paid. The client is left in an enviable
position with $7.5 million in insurance assets and very low premium payments.
IT’S NOT TOO LATEThe financial crisis is hurting the investments of insurance companies. As a result, they will be increasing their premiums to stay profitable. Now is the time to consider your own asset
building form of insurance so you aren’t locked into increasing premiums even in bad economic
times.
OUR JOB
THE FINTRA CLUSTER BELIEVES IT HAS A DUTY TO CREATE A “WIN/WIN” PLAN FOR THE CLIENT!