Alternative Risk Finance
Click here for more information.
Risk is a Manageable Cost
Through the understanding of insurance as a business, Arges Group clients have unveiled the mystique of the insurance industry and the indiscriminate nature by which costs are determined. Based upon this simple yet powerful concept, companies have moved away from “traditional” insurance and embraced the benefits of alternative programs.Today, the Alternative Risk Finance market accounts for over 50% of all commercial insurance dollars spent in the US.
The Alternative Risk Finance Market
- Large Deductible Insurance Plans
- Retention Plans
- Self- Insurance Plans
- Captive Insurance Companies
- Risk Retention Groups
Benefits of Alternative Risk Finance
- Greater control and flexibility to manage risk
- Greater control over cost of insurance and risk
- Focused loss prevention
- Reduced fluctuation of annual cost of insurance and risk
How Alternative Risk Finance Works
The essential components of an Alternative Risk Finance program include the following:- Evaluation of your risk of financial loss
- Retaining a significant portion of risk instead of purchasing a standard insurance program
- Utilization of a reinsurance policy that limits your responsibility for single and/or aggregate losses
- Earning investment income on your risk financing plan