Aon Broker Kathryn Christensen Recognized as a 2021 Captives Power Broker
Kathryn Christensen, Senior Consultant, Risk Finance and Captive Consulting, Aon
When Kathryn Christensen’s client, Veritas Investments, faced retention and premium increases of as much as 50 and 10 times respectively on its general liability program, she knew it was time to re-evaluate its entire risk management model.
She assessed the trade-off between market pricing and forecast losses based on actuarial analytics for various program structures, weighing potential commercial premium savings against the risks of taking on increased exposures.
Based on her review, the client agreed to replace the primary commercial layer with a fronted captive program. The alternative structure would protect Christensen’s client from the hardening market and reduced the total risk cost by more than $500,000, as well as providing increased control over claims handling and legal counsel selection.
“We wanted to take on more risk but were limited in what we could do by our contractual obligations, and the fronted general liability program Kathryn came up with allowed us to take on the first £1 million in risk without violating our agreements,” said Justin Martin, senior risk manager at Veritas.
“This also provided significant premium reduction for us of almost 33 percent, with the opportunity to retain an underwriting surplus if we had less losses than we had expected. Without Kathryn’s consultation and experience, I would have faced significant roadblocks to gain authority from my board to set up a captive. With her assistance, we were able to articulate how a captive operates and gain approval to form ours.”
What is a Power Broker?
A Risk & Insurance Power Broker® is an individual who stands out among their peers for the exceptional client work they delivered over the past year. While brokers play many key roles in the insurance industry and risk profession, a Power Broker® award recognizes problem solving, customer service and industry knowledge.
Our goal is to broadly recognize and promote outstanding risk management and customer service among the brokerage community.
Who selects the winners?
Power Brokers are selected by risk managers based on the strength of the testimonials they provide to a team of 15 Risk & Insurance editors and writers.