Course Objectives

1. Understand the concepts of prospectively rated (Guaranteed Cost) and retrospectively rated (Loss-sensitive) insurance plans and how they differ.
2. Understand the basics of cash flow and Time Value of Money (TVM), and their significance and use in casualty insurance program designs.
3. Know and understand the mechanics and differences between Incurred Loss Retros (ILR), Paid Loss Retros (PLR), and Deductible Plans.
4. Know and understand the advantages and disadvantages of each program design to recommend the appropriate design to client/prospects based on their individual needs and treatment of risk.
5. Learn brokering strategies and techniques for negotiating loss-sensitive plans with carriers.

Competency focus

Casualty insurance technical: emphasis on design, evaluation, and brokering of retrospectively rated plans.

Who Should Enroll?

Any Risk Management & Middle Market sales, client advisory, or marketing (placement) person expected to sell, present, service, negotiate, or place loss-sensitive primary casualty insurance plans.

Suggested Prerequisite Profile

1. 2-4 years commercial primary casualty brokerage experience.
2. Basic knowledge of the nature of claims/loss experience by line of coverage. (Long-tail vs. fast pay, frequency vs. severity, trending and development, etc.)

Length: Eight hours (1 day)