Multi-year, multi-line cover: A holistic approach to risk management
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Swiss Re Corporate Solutions believes in a practical, incisive approach to business. We understand that our clients have specific requirements, which can be complicated. Our job is to cut through complexities and complications and present a solution that works for the client.
A global goods manufacturer invited tenders to insure all its major business lines. At first glance, Swiss Re Corporate Solutions hardly seemed a front runner for the bidding. For a start, we had no history with the company in question, nor could we offer any of the relevant lead capabilities (risk engineering, claims handling etc.).
However, we saw an opportunity when another insurer approached us with a proposal to combine their lead capabilities with our expertise and risk-bearing capacity. We decided to adopt a multi-year, multi-line approach as our solution. This type of integrated product allows the client to spread risks over a number of years and business lines. As a result, the client finds it easier to administer the insurance process. Another bonus is the more efficient use of insurance capacity by spreading it over different risk categories.
The idea was promising but we still had a number of hurdles to overcome, such as the technical challenge of merging all the business lines into one product. We also had to establish an effective working relationship with our co-provider in some areas which were new to us. Our ability to respond to such challenges defines the way we do business. For every challenge there is a solution, and we excel in finding those solutions.
Multi-year, multi-line cover is an attractive option if you want to bundle your risks and benefit from price stability and more efficient risk diversification. Furthermore, Swiss Re Corporate Solutions is an expert partner in this area through its financial strength, track record and ability to customise its offering to each client's risk appetite.
In our newest sigma 05/2017 "Commercial Insurance: innovating to expand the scope of insurability" you can read more examples of innovative insurance solutions we have developed to protect our clients from earnings and cash flow risks.