Commercial managing general agent eMaxx has expanded its turnkey platform for insurance companies to make it easier for them to enter the fast-growing captive market.
The alternative risk specialist’s platform includes technology, product development, marketing, sales support and administration. It can also assume quota share excess of loss (XOL) reinsurance.
Insurance companies provide fronting, excess XOL reinsurance, claims oversight and their independent agency network.
“Variable cost captives are the fastest growing sector of the commercial insurance market and there is high demand for alternative risk captive programs,” said Brian McCarthy, CEO, eMaxx. “Commercial Insurers can enter the alternative risk market quickly and provide their independent agency partners a branded product within months instead of years.”
The platform provides a centralized source for customers to manage their own insurance and risk management programs. They have access to insurance policies, program documents, historical exposures, claims details including adjusters’ notes, real time billing and the ability to make payments. Customers can view their fund performance and profitability.
The platform supports homogenous, heterogeneous (regional) captives, single parent and enterprise captives for insurance company partners.
What eMaxx calls a “variable cost captive” is the same structure as other captives. The firm said it uses this terminology to make it clear it is not a guaranteed cost program.
Risk management capabilities from eMaxx include telematics ranking and score cards, driver files management, motor vehicle registration monitoring and eLive Connect online learning platform.
eMaxx acts as the sponsor of eCaptiv, a Vermont captive reinsurance company that provides protected cells reinsurance support.
Proponents of captive programs say that compared to traditional insurance they can potentially lower costs, control claims and provide tailored coverages.