The sharing economy is filled with cutting-edge innovators – music and video streaming, car sharing companies, even peer-to-peer lending and crowdfunding companies. Yet these companies still face traditional requirements for covering risks associated with their operations, employees and customers. A unique solution for one such company, an AIG Multinational client in Europe, earned AIG an industry award for “Innovation in Fronting” for the second consecutive year at the 2016 UK Captive Services Awards.
Fronting offers an effective and efficient solution to meet the specific insurance needs of a client who wishes to retain some or all of its risk, or who is seeking a practical solution for a complex or unusual risk that is difficult and/or expensive to place in the traditional market.
In the case of this year’s award-winning solution, AIG helped a client meet a critical business need by developing a policy providing coverage that was not readily available in the traditional market. Collaboration between the client, broker and AIG was instrumental in ensuring that identified risk exposures were adequately covered in a compliant manner.
“This award showcases the leadership position that AIG has achieved over the years in the captive fronting arena,” says Carol Barton, President, and AIG Multinational. “Kudos to the global fronting, casualty, and distribution teams in the UK for their teamwork, client focus, and commitment to delivering an innovative solution to a unique business need.”
Steve Liberda, Head of Global Fronting UK, AIG Multinational, adds, “Developing insurance products for clients in the rapidly expanding, sharing economy has provided an exciting and challenging opportunity to explore creative solutions that help them meet their regulatory requirements and evolving risk management objectives.”
The Broking Director provided a testimonial for the award, saying, “When presented with a business, insurance, and regulatory requirement that was truly unique, and therefore untried or tested, AIG worked tirelessly with us to ascertain our client’s needs and ultimately ensure that what we built around this uncharted landscape was not only innovative, but appropriate and fit for purpose.”