AM BestTV: ‘A Black Eye for the Industry’: Spirit Commercial Auto RRG Insolvency Talk of CICA
OLDWICK, N.J.--(BUSINESS WIRE)--Mar 14, 2019--In this episode of AM BestTV, the placement of Nevada-based Spirit Commercial Auto Risk Retention Group (RRG) into permanent receivership and how it might impact the alternative risk transfer market was the preferred topic of discussion at the Captive Insurance Companies Association (CICA) 2019 International Conference in Tucson, AZ. Click on http://www.ambest.com/v.asp?v=cica19 to view the entire program.
“I think that if Spirit is as badly off as it appears to be it is going to be a black eye for the industry,” said Robert (Skip) Meyers, Jr., partner, Morris, Manning & Martin LLP. “We hope that good things can come out of it in terms of how other similarly situated entities would be regulated in the future.”
Gary Osborne, vice president, Risk Partners, said, “We have seen a couple of risk retention trucking companies go down. … Counties, cities and other companies that mandate what your coverage should say no longer are willing to take an RRG. Therefore, it can be a big problem when you have this kind of sizeable failure. People that are depending on that insurance can then put stronger and more restrictive things on an RRG. The industry has to come together and find ways to raise substantial capital to address these kind of concerns so that it can come out with a solution.”
Other executives appearing in this video include:
- Daniel D. Towle, president, Captive Insurance Companies Association;
- Paul Owens, managing director, Willis Towers Watson Global Captive Practice;
- David Provost, deputy commissioner, Captive Insurance Division, Vermont;
- Steve Kinion, director, Bureau of Captive and Financial Insurance Products, Delaware; and
- Joseph Deems, executive director, National Risk Retention Association.
For full video coverage of the CICA conference, including exclusive executive interviews, visit http://www.ambest.tv/cica19.
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AM BestTV covers exclusive AM Best and insurance industry information and reports, targeted topics and key developments in the insurance, reinsurance and related sectors daily. Sign up for alerts of episodes athttp://www.ambest.com/multimedia/ambtvsignup.html. ViewAMBestTV episodes athttp://www.ambest.tv.
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SOURCE: AM Best
Copyright Business Wire 2019.
PUB: 03/14/2019 02:13 PM/DISC: 03/14/2019 02:13 PM