AGENCY PROGRAMS
BOTTOM LINE IMPACT
Although an Artex program will increase top line revenues to as much as 50% or 60% of
premium, it is the bottom line impact that is so significant. Moving to an Artex approach
will have little or no impact on your expenses to manage a program, which results in the
underwriting profit and investment income dropping straight to the bottom line. In the
profit illustration used here, a 50% loss ratio
would generate over $1.5mm in new net
income from a $5,000,000 program.
THE BEST OF BOTH WORLDS
Artex offers you the best of both worlds. You have the opportunity to build long-term value while retaining the flexibility to adapt your program to address changing market conditions.
ARE YOU A GOOD CANDIDATE FOR ARTEX?
Artex has a broad market application for program business. Program loss experience, the types of exposures you are looking to cover, and your overall attitude toward risk retention are the primary determinants of whether or not Artex is right for you.
TAKING RISK
Traditionally, insurance agents have not been in the business of taking risk. However, market distribution systems are changing and banks and
e-commerce will significantly impact the way certain insurance is sold. Agents can leverage a small amount of risk taking to keep control over the distribution of their product. The amount of risk assumption in any program can be specifically tailored to the agents appetite for risk.
ARTEX ADVANTAGES
Some of the advantages that Artex can bring to an agent or MGA include:
- Return of underwriting profit and investment income
- No capitalization requirements
- Control over underwriting
- Unbundled claims and loss control services
- Access to secure and competitive markets.
TARGET ACCOUNTS (IDEAL RISKS)
Agent or MGA with proven expertise in a given class of business
Homogenous book
Premium of $5,000,000
Existing first dollar program
Good loss experience
SIMPLE, FLEXIBLE, POWERFUL
If you are interested in a simple, flexible way to gain better control over your program
business, just talk to our representative, who will be happy to more fully explain how you
can put the power of Artex to work for you.
For more information contact us today.
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