law expense insurance

1. Group Insurance Strategy
D.A.S. Korea, Group Business Approach
Andreas Huber, D.A.S. International
Seoul /Munich, Mai 2012

2. Definition of Group Insurance
Group Business Approach
“ Insurance contract for a certain number (>10 ) of persons
with equal characteristics or features .“
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3. Basic Structure of Group Insurance
Group Business Approach
Insurance Company
Optional or compulsory cover Insurance contract (only
for the members/ employees between Insurer and
(important pricing criteria !) Organisation)
Company,
Organisation, = Policyholder
Union,
Association
Insurance coverage ( but no single
contract with each client )
Member Member Member Member
or or or or
Employee Employee Employee Employee
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4. Examples for typical Affinity Groups (DAS UK)
Group Business Approach
Number of
Affinity How LEI coverage Arranged
members/employees
Chiropodists & Podiatrists Through Association 8,444
Opticians Through Association 5,671
Proctor & Gamble Employees Employee Benefit Program 5,214
Golf Club Pros Through Association 5,210
Musicians Through Association 4,893
Through Industry Specialist
Hospital Consultants & Specialists 3,000
Broker
Executives in Computer Industry Through Association 2,600
Child Minders Through Association 2,200
Sunseeker International Employees Employee Benefit Program 2,198
Prison/Custody Officers Through Union 2,100
Air Traffic Controllers Through Association 2,094
Crossreach Employees Employee Benefit Program 2,000*
Sodexo Justice Services Employees Employee Benefit Program 1,891**
Alternative Medical Practitioners Through Association 1,760
Baptist Ministers Through Union 1,620
Chief Executives Through Association 1,330
Union Employees Employee Benefit Program 1,300
Prison Governors Through Association 1,300
Charity Employees Employee Benefit Program 1,263
Foster Carers Through Association 1,210
* (Provide care to children, family, the elderly, addicts,
homeless, etc)
**(private firm of Prison/Custody Officers)
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5. Decisive elements of insuring Groups (DAS UK)
Group Business Approach
Not every Group is a „good“ risk…
Groups considered a high risk Groups considered a low /good risk
 Smaller groups of employees or members  Larger Groups of employees or members
(wider spread of risks)
 Groups which include members who hold
a high position of authority.  Non professional companies (non- profit
association)
 Highly professional employees on the
higher end of the pay scale  Non commercial special interest groups
 Trades who have their own governing  Companies with employees on the lower
body end on the pay scale
Selecting the „right“ group as one element for successful Group business
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6. Decisive elements: selecting of EOC`s and pricing criteria
(DAS UK)
Group Business Approach
Non Compulsory
No negative risk Compulsory Premium more
selection (Optional) than 3 times higher
Insurance
Insurance
DESCRIPTION UNITS UNITS UNITS
0-25 26 -100 101-1000
Comp Non Comp Non Comp Non
Comp Comp Comp
Bodily Injury (Motor/Non Motor) 5.45 17.75 4.90 15.95 4.30 14.00
Each element of
Contract Disputes (Non Motor) 12.50 40.65 11.25 36.60 9.90 32.00
cover (EOC) has to Legal Defence * 2.90 9.15 2.60 8.20 2.25 7.20
be selected and Property Protection 3.10 9.80 2.80 8.80 2.45 7.75
priced individually Employment Disputes ** 11.75 23.52 10.60 21.10 9.25 18.60
according to Taxation Disputes 4.40 13.75 3.95 12.40 3.45 10.90
expected claims Motor Uninsured Loss Recovery 3.75 3.75 3.40 3.40 2.95 2.95
Commercial Agents Regulations 6.65 20.00 5.95 18.00 5.30 15.80
frequency and Counselling 0.70 0.70 0.60 0.60 0.50 0.50
average claims Eurolaw Legal Advice and Group 1.10 1.10 0.95 0.95 0.80 0.80
costs Assistance Services
Individual premium loading of EOC`s according to expected claims exposure and
particular circumstances
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7. Examples of group business (DAS Canada)
Group Business Approach
Canadian Group Policy
Group Business successfully
launched:
- DealerSure (Gallagher), Car- Dealer
- BFL Strata (Condominiums)
- First Nations
Group- Production 332.000 € GWP until March 2012
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8. Examples of group business (D.A.S. Italy)
Group Business Approach
 Contract between D.A.S. Italy and
Mercedes- Benz in Milan
 Truck Drivers–Legal Protection
Insurance for all clients
 Prosecution defence with protection
against sequestration and drivers
licence protection
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9. Examples of group business (D.A.S. Switzerland)
Group Business Approach
 Collective-Contract between D.A.S.
Switzerland and Groupe Mutuel (Health
Insurance)
 Optional insurance policy
 Legal Protection against wrong
medical treatment
 D.A.S. CH is just underwriter (White
label) does not appear in the policy
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10. Questions ?
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