The Keystone Large Deductible

Keystone has developed a fully insured product designed to lower the ultimate cost of insurance and provide unique benefits to privately held businesses. Previously limited to larger insureds with single parent captives, this large deductible alternative brings the framework of a highly successful owned captive structure to a wider audience of insureds.  Qualifying businesses generate conventional premiums in excess of $1,000,000 or have the ability to assume a retention of $100,000 or more.

This product involves two (2) policies both issued by the same A.M. Best A XVI rated insurance carrier.  The plan combines the inherent flexibility of a large deductible with a uniquely crafted second policy, the Deductible Reimbursement Policy (DRP). The DRP is highly customized to satisfy the traditional large deductible obligations including collateral requirements, claims escrow and paid loss reimbursement.

At its core, the product presents the insured with a “first dollar” insurance program, an opportunity to receive both underwriting profit & investment income and the exclusive ability to tailor the long term funding of their future insurance obligations.

Features include:

• Contractual Return of Underwriting Profit & Investment Income           
• Ability to Unbundle Claims and Risk Management Services
• Reduce Reliance on Customer Provided Letters of Credit & Eliminate “Stacking”
• Stable Long Term Cash Flow
• Tailored, Multi Year Solutions
• Comprehensive Quarterly Financial Reporting Package                              
• Potential Tax Deductibility for Qualifying Structures
• Individual “Protected Cells” Established for Each Participant
• Legal Segregation of Customer Assets & Liabilities
• Access to Proprietary Claims & Risk Mitigation Platform.

This product is designed for primary workers compensation, auto liability and general liability with a wide range of industry classifications.