ISSUES

The auto manufacturer has several different product line streams in the high-risk category.  As a result, they were managing a sizable casualty insurance program with significant deductibles/retentions.  The client also had a lengthy loss history, but had dramatically reversed the trend over the past two years by divesting themselves of specific operational segments.  Their current insurance broker had advised them that most insurers wouldn’t even quote on their risk management program because of their loss history, and none of those insurers had the foresight to take into consideration the recent changes the auto manufacturer had made to mitigate this loss pattern.

ACTION

The UIC, Inc. Process and Mantra:  AUDIT | MITIGATE | NEGOTIATE | MANAGE

The senior management for the automotive manufacturer extensively vetted UIC, Inc. for our overall risk management experience, as well as our expertise in the manufacturing sector.  The client had two goals — to achieve broader coverages while lowering their products liability deductible.  The broader coverages would shore up their overall risk management program, and a lower deductible would give them a competitive advantage in the marketplace

AUDIT

UIC, Inc. performed an independent risk management audit, and was provided complete access to senior management and all appropriate information.  Our team not only reviewed the breadth and depth of insurance coverage in place, but also interviewed senior management on the existing casualty program.  Our team had in-depth discussions with senior management regarding their recent divestitures to see if any additional spin-offs could further improve the current financial picture.  UIC, Inc. noted three red-flag issues:

  • Various ownerships with different parent companies
  • Inadequate product design coverage
  • Uncapped liabilities on their deductibles/retentions

We proposed a complete restructure of their casualty program to achieve their risk management goals within a maximum program cost.

MITIGATE

The proposed overhaul of the casualty program received the full support of senior management.

NEGOTIATE

UIC, Inc. implemented the newly proposed casualty program and corrected coverage inefficiencies, for an overall robust and cost-effective risk management program.  Our plan reaped the client an annual premium savings of 42% — that’s over $1,000,000.  The new program not only garnered broader coverage, but also lowered their products liability deductible from $500,000 down to $250,000, which was a distinct competitive advantage in the marketplace.

The UIC, Inc. team’s expertise in the manufacturing sector meant our understanding of market conditions and risk appetite gave our client a distinct advantage.  Their streamlined casualty program with a lower products liability deductible is an asset that few can compete with.

IMPACT

With UIC, Inc.’s involvement, the following results were realized:

  • The company’s casualty program was completely restructured, providing seamless coverage over their diverse product line streams.
  • Annual premium savings of 42% was achieved, while simultaneously improving coverage across the board.
  • Recognition of the company’s continued need to improve their loss history.  UIC, Inc. worked with senior management to institute a consistent structure to the overall risk management program, providing flexibility should they decide to divest themselves of any other operational segments in the future.

MANAGE

UIC, Inc. worked with company’s senior management to educate all personnel on the new casualty program in place.

UIC, Inc. continued to serve the company well past renewal on overall risk advisory, which led to hard and soft savings in future years.

See How UIC, Inc. can help you.

UIC, Inc. is not affiliated with any brokers, nor holds any agreements with insurers.  This affords us the objectivity to provide advice for the sole benefit of our clients.  Our depth of knowledge and innovative solutions provide our wide variety of clients with comprehensive, cost effective, yet flexible risk management programs for their specific needs.  UIC, Inc.’s annual insurance consulting retainers, our only source of income, consistently help clients achieve insurance premium savings averaging 25%-40%, offering significant ROI while at the same time providing appropriate insurance coverage for each company’s specific needs and risk profile.  Schedule your complimentary risk management audit with UCI, Inc. now.

Case Studies

Auto Manufacturer Case Study

ISSUES The auto manufacturer has several different product line streams in the high-risk category.  As a result, they were managing a sizable casualty insurance program with significant deductibles/retentions.  The client also had…

Read More
Big Savings For A Nationwide Marina Corporation With New Tack in Strategy.

A coast-to-coast marina operation sailing into a new stage of growth looked to reel in a portfolio of new properties without drowning in a sea of rising premiums. The UIC, Inc. team helped the client save.

Read More
Millions in Savings for Manufacturing and Distribution Company

Working with our client’s management team, our aim was to create a cultural shift in how risk management as a whole was treated across all areas of business. Using this approach, our consultants were able to secure premium savings totaling over $20 million for our client over a seven-year period.

Read More
Bottom Line Results for Real Estate Investment Firm

Facing a rate increase from its insurers, a large real estate investment firm looked to the UIC team for advice on reducing their premium while maintaining or enhancing their coverage. Working together, we realized a 25% annual premium savings while identifying and negotiating optimal coverage for our client.

Read More
Annual Premium Savings of 40% for Transportation and Logistics Company

Following an independent management review, our team provided a comprehensive report on how to structure the risk and insurance programs based on an analysis of coverage and benchmarking. Among other accomplishments, we were able to close coverage gaps and achieve a 40% annual premium savings.

Read More

Schedule your complimentary risk management audit.

Find out if your business qualifies for a free, high-level review of your insurance program by our independent consultants. Please click the button below, complete the Decision Tree form and submit.

Completion should only take a minute, which may easily turn out to be the best spent amount of time in support of achieving your business goals.

Complimentary Audit