Runoff Administration . . . with a Difference
Run-off liabilities have
increased, both in size and complexity, in the last decade. Deteriorating results,
the need to focus on core business, increasing administrative costs and drains
on management time have made alternative solutions important to executives
facing these problems. New strategies are needed to manage an orderly and
efficient exit from the business. Devonshire is helping many companies to develop these strategies.
Almost without exception, companies facing a long-term runoff of discontinued business have concluded that the most sound strategy is to manage the runoff with a focus on capping or eliminating open-ended liabilities.
For many years, Devonshire has been providing insurance/reinsurance clients with the important elements that executives are looking for today:
Runoff Administration . . . the Details
Devonshire offers many years of experience in smooth and orderly transfers of clients' run-off administration.
Devonshire’s methods and procedures, claims handling practices and accounting ensure professional ongoing management of the runoff.
Devonshire offers a total solution to run-off management, including:
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| || Accounting. Reinsurance accounting and processing, banking functions, accounts receivable/payable and reinsurance collections. |
| || Financial Reporting. Loss statistics, financial statement preparation and all appropriate schedules supporting quarterly and annual statutory filings, including annual statements and Schedule F information. |
| || Systems. IBM mainframe and PC-based environments offer the capability
to manage an existing system, oversee a conversion to Devonshire's in-house system or support other data processing solutions. |
| || Management Reporting. To supplement monthly financial and statistical reports, narrative management reports are prepared on a regular basis, which include issues of interest to management, progress toward strategic goals and forecasts of expected future activity. |
| || Claims Handling. Established, effective methods and procedures for claims handling including extensive review and file documentation of settlements and reserving and accurate processing and reporting. |
| || Audits/Reviews. An analysis of all assumed reinsurance contracts for which losses have been reported. Applying market experience, knowledge of ceding companies and the nature and amount of losses reported, a schedule of proposed audits is then developed. Audit plans for produced for each ceding company or insured. |
| || Commutations. Many years specializing in auditing ceding companies, monitoring industry and individual company trends and determining favorable commutation environments for its clients. Substantial experience, skill and undisputed results in this specialized area. |
| || R/I Collections. Collections are effectively managed using a worldwide network of industry contacts and specialized skills and techniques to accelerate the recovery process. |
"More and more companies these days want to focus on their core business and outsource the superfluous stuff.."