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Santam Risk Finance gives you specialist insurance structuring

Santam Risk Finance is an industry innovator in specialist insurance structuring; offering partners and clients individually designed financial solutions. Their team is uniquely positioned to assist clients in the rapidly changing insurance regulatory environment.

They use a portfolio of on and offshore insurance licenses and highly specialised skills set. This allows them to create tailored financial solutions aimed at optimising capital structures and enhancing profitability.

Their team of specialists work closely together to combine insurance, underwriting and financial knowledge to harness synergies and drive six business pillars:

  • STRUCTURING – Uses a portfolio of on and offshore insurance licences and technical specialist skills to create tailored financial solutions.
  • STRATEGIC INVESTMENTS – Explores opportunities to invest in existing or start-up businesses in order to create value and achieve shared business goals.
  • UNDERWRITING SOLUTIONS – Enables organisations to offer an existing client base bespoke insurance products, creating new revenue streams.
  • RISK FINANCE – Offers alternative risk transfer solutions for businesses looking to benefit from their own effective risk management procedures.
  • CREDIT INSURANCE – Provides trade credit insurance to protect businesses against loss due to payment default on trade receivables.
  • SUPPLY CHAIN FINANCE – Unlocks value in the supply chain by enabling suppliers to be paid early while allowing buyers to maximise payment terms with their suppliers.

Santam’s risk insurance programs to fit each individual client’s needs.

With the ever-changing risk environment it has become a necessity to design insurance programs to fit each individual client’s needs. Santam works closely with their client’s management teams and their advisor’s to determine the optimal level of risk retention versus the amount of risk that is transferred to the insurance and reinsurance markets.

Their solutions are innovative and built on a foundation of exact study and an understanding of their client’s business. This allows them to link the client’s risk management programs to their strategic business and financial objectives.

The product offering includes:

  • Contingency policies for clients willing to manage their own risk.
  • Policies for clients who are unable to find conventional insurance cover.
  • Combined policies which offer an element of self-insurance in conjunction with a conventional (re)insurance policy.

CONTINGENCY POLICIES

Contingency policies are an element of the alternative insurance market.

The main difference between a contingency policy and a conventional insurance policy is the increased amount of risk retention accepted by the insured and the reduced reliance on conventional insurance cover. A contingency policy may be issued as a stand-alone product or in combination with a conventional insurance policy to form a total risk management structure. As a short-term insurance product the policy is normally written for 12 months, but it can be issued for shorter periods.

One of the main intentions of a contingency policy is to enable the insured to create and increase its own insurance capacity over a number of years and to enable them to retain more risks or higher deductibles.

The insured is rewarded for good risk management in the form of a performance bonus which is a share in the underwriting profits due to a favourable claims experience.

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Erasmus Pretorius

With over 23 years of unwavering expertise, I am a seasoned Chartered Accountant committed to financial excellence. My journey in the realm of finance has been marked by astute strategic insights, meticulous attention to detail, and an unyielding dedication to precision. Over the years, I’ve navigated the complexities of financial landscapes, providing invaluable counsel to diverse clients. My proficiency extends across auditing, taxation, and financial management, coupled with a profound understanding of regulatory frameworks. As a registered professional, I have consistently upheld the highest standards of integrity and ethics, earning a reputation as a trusted advisor in the dynamic world of finance.