Home About Services Contact Links

Insureds

Claim Analysis and allocation

Claim Presentation and negotiation

Claim recovery

Residual claim purchase

Claim Analysis and allocation

Insurance claims can be complex especially when multiple years and layers of insurance are involved. Proper documentation is essential to ensure prompt payment by insurance companies from the initial notice through the ultimate billing. Questions raised by insurers must also be responded to promptly to expedite recoveries.

The process of allocating a claim over many years of coverage and multiple layers of insurance requires developing sometimes complex allocation models. Further, in the event a London Market policy is involved, additional complexities may be present.

Gray Wolf has had eight years of experience in this field and has been involved in the analysis, creation and presentation of complex multiple year and multiple layer insurance claims.

Claim presentation, negotiation and recovery

Insurers rarely accept an initial claim presentation when the underlying issues are complex and where allocation and layering is potentially subjective. Often much time must be spent responding to technical questions and justifying a particular allocation.

In addition, where London Market policies are involved, numerous presentations and negotiations may be necessary as the market may be broken up between companies with ongoing business and those in runoff, and often the nature of the claim may preclude the involvement of the original London Broker. Further compounding matters may be individual companies who are not represented by the London Market either because of insolvency or a decision not to join in a particular market settlement. These companies represent a particularly difficult market for insurance recoveries.

Gray Wolf has extensive recovery experience with insurers and has a particularly strong expertise in the machinations of the London Market.

Residual claim purchase

After a claim has been negotiated and recoveries are completed there are often a few lingering insurers who remain recalcitrant. In addition there may be future potential dividends due from US or UK insolvencies. Gray Wolf Group has resources available to monetize the future potential value of these claims allowing insureds to close their books.

Insurance asset monitoring and security

As insurance policies age they depreciate. The reasons for the depreciation include inflation, new uninsured exposures and the disappearance of cover due to insolvency etc.

In order to minimize the effect of this depreciation, insurance programs need to be monitored to ensure any opportunities available to avoid such depreciation are taken.

For example, ongoing efforts in the London Market to deal with runoff business have led to the establishment of Schemes of Arrangement. This concept was originally crafted to deal with London Market insolvency however in recent years it has been expanded to include solvent runoff companies. These Solvent Schemes can be proposed, approved and closed in very short time frames quickly shutting off all future claims permanently.

A monitoring program will identify those companies at risk and seek to maximize the value to the insured by timely filing claims including the calculation and submission of incurred but not reported estimates. Where necessary, policy buybacks can be negotiated prior to insolvency if insureds remain alert and aware of the potential.

Gray Wolf has an ongoing monitoring practice for its clients and is constantly updating and improving its market intelligence.

Cedants
Reinsurer

Home | About Us | Services | Contact | Links