ExceptionalRiskAdvisors.com: Blog Feed

Case Study: Perfume Distributor

Tue, 24 Aug 2010 14:50:29 +0000

You know you need Exceptional Risk Advisors when...

Your Perfume Distributor Client Has A Policy That Totally Reeks!

Advisor challenge

A popular perfume distribution organization's, 32 year old actress, spokes model and partial owner was preparing for her next big studio production. The production called for the actress to perform her own stunts; and as the face of company's most successful perfume line, the perfume distributor became deeply concerned for the risk their icon was exposed to.

With $25M of Key Person Life Insurance in-force on the celebrity, the organization was looking to secure equivalent Key Person Disability insurance.

Solution

Exceptional Risk Advisors constructed a $25M contract for Key Person Disability coverage. The policy was designed to pay a lump sum benefit of $25M to the company after a 12 month elimination period.

Case Study: Plastic Surgeon Needs Insurance Makeover

Tue, 27 Jul 2010 19:00:01 +0000

You know you need Exceptional Risk Advisors when...

Your Plastic Surgeon Client Needs An Insurance Makeover!

Advisor challenge

Working with a major plastic surgery center, an advisor out of Southern California brought us a unique risk that was of concern to the facility. The 45 year old private practice plastic surgeon, sole proprietor and lead surgeon employed a staff of 10 in his 2 Los Angeles offices. Each month, Dr. McDreamy had fixed operating costs exceeding $125,000.

In the event an unexpected accident or illness occurs, affecting the surgeon, the office would require Business Overhead Expense coverage in the amount of $125,000 per month to keep the office running.

Solution

To design a BOE program that would pay $125,000 per month for 24 months in the event of a disability to the surgeon, the advisor turned to Exceptional Risk Advisors. The 24 month benefit would allow the surgeon to pay his employees, vendors, and bills while disabled and unable to generate revenue. This time would also enable the surgeon to effectively transition his practice to another practitioner if need be.

Case Study: Ideas For Elite Advisors

Tue, 06 Jul 2010 15:27:52 +0000

You know you need Exceptional Risk Advisors when...

The Bling Your Client's Sporting Bears A Strong Resemblance To Olympic Gold

Advisor challenge

Protect the future endorsement income of an Olympic medalist.

Solution

Before this advisor's superstar client boarded the plane to return home from Beijing, they called Exceptional Risk. The athlete's potential endorsement income was projected to be in the millions over the next few years. We put together a program that would pay the insured a $5 million lump sum in the event of a career ending injury.

Case Study: Voice Over Professional

Tue, 01 Jun 2010 19:01:36 +0000

You know you need Exceptional Risk Advisors when...

Your Client Has No Voice In The Matter, They Need Coverage!

Advisor challenge

An advisor out of Beverly Hills, California presented us with a voice-over professional who recently purchased an expensive home in Malibu. The 35 year old earned $2M per year. To protect the client in the event she became disabled and could no longer make her mortgage payments, her advisor recommended that she secure appropriate disability protection.

Solution

As a Lloyd's of London coverholder, Exceptional Risk Advisors created a comprehensive policy using an "own occupation" definition of disability and manuscript wording specifically to protect the client's voice. The coverage would pay the client $90,000 per month should she suffer a disability and be unable to fulfill her voice-over duties. The policy will ensure the client is still able to make payments on her new home and maintain her lifestyle despite being unable to work.

Video: Physician Disability Insurance

Sat, 01 May 2010 14:47:51 +0000

Are your physician clients under-insured? Is their lifestyle, and possibly their practice, at risk if they were to unexpectedly become disabled? Watch this brief presentation detailing our unique capabilities to protect your client's income at a replacement ratio of up to 60%, about 40% more than traditional insurers can offer.

Case Study: Disability Exposure

Thu, 01 Apr 2010 13:04:55 +0000

You know you need Exceptional Risk Advisors when...

You're Reviewing a Client's Buy-Out Agreement and You Find a Serious Disability Exposure

Advisor challenge

While reviewing the business continuation plan of a social media company worth nearly $130M, an advisor out of New York City identified a serious disability exposure. The company was comprised of fourteen shareholders with equity values ranging from $2M to $28M, none of which were insured with disability buy-out coverage.

With the risk of disability as high as 3.5 times greater than the risk of death during a person’s working years, the shareholders were seeking insurance coverage to mitigate the financial risk of a disability to a shareholder. (Statistics taken from “Unprepared for the Unthinkable”)

Solution

Aware of Exceptional Risk Advisors’ capability to underwrite in excess of $100M per insured, the advisor turned to ERA to create a comprehensive disability program for the partners. Exceptional Risk Advisors designed fourteen custom high limit disability buy-out policies utilizing the medical exams conducted to underwrite the clients’ life insurance.

In the event of an unforeseen disability to a partner, the policies will pay the organization a lump sum benefit after a 12 month elimination period. Placing nearly $130M of disability insurance, the premium generated was just over $650,000 annually – a cost that represents only one half of one percent of the total sum insured.

Video: Golden Gavel Coverage

Mon, 01 Mar 2010 14:46:28 +0000

Watch Exceptional Risk Advisors' brief presentation on our unique, high limit products for any client employed in the Law industry.

Case Study: Merger

Mon, 01 Feb 2010 14:28:25 +0000

You know you need Exceptional Risk Advisors when...

Your Client's Core Growth Strategy Revolves Around Mergers And Acquisitions

Advisor challenge

A $300 million deal is contingent upon securing high limit Key Person death and disability protection for the CEO.

Solution

The advisor turned to Exceptional Risk. Their client, a private equity firm, was adding a new company to their portfolio. The private equity firm felt strongly that the company's CEO was critical to the transition and ongoing success of the business. After thoroughly quantifying the potential impact of the loss of the CEO, a requirement for $20 million of Key Person death and disability was established as a condition of the deal.

The time frame was tight. So we bound $20 million of Interim Gap insurance covering death for a 60-day period. A $20 million lump sum Key Person Disability policy with a pre-existing condition exclusion was also written. Full coverage was afforded once the CEO's physical exam was completed and reviewed.

Video: Entertainer Personal Income Protection

Fri, 01 Jan 2010 14:39:47 +0000

Need to insure an award-winning actor, high level producer, or Billboard 100 musician? Watch our brief presentation to learn how Exceptional Risk Advisors can secure "rock star" disability coverage for your most exceptional clients.

Case Study: $60 Million Exposure

Tue, 01 Dec 2009 14:41:25 +0000

You know you need Exceptional Risk Advisors when...

You're Working With A $60 Million Company With A Large Disability Exposure

Advisor challenge

Provide a large, privately-held public relations firm with disability protection for 32 partners with equity values ranging from $200,000 to more than $20 million.

Solution

We worked with the advisor to develop a custom solution that would meet their client's needs. Through a series of underwriting concessions and modifications, we created a program that included minimal underwriting for the smaller policies. The combined annual premium to fund nearly $60 million in disability benefits was approximately $525,000.

Case Study: High Limit Disability

Thu, 01 Oct 2009 14:44:37 +0000

You know you need Exceptional Risk Advisors when...

When Your Client's Annual Income Has More Digits Than His Phone Number

Advisor challenge

Secure additional disability income protection on three young investment managers - each with an eight-figure income; all employed by the same firm.

Solution

The advisor turned to Exceptional Risk. While the execs were in their 30's, the advisor's client was keenly aware of the potentially devastating impact of a disability - having experienced it with one of their young general partners. We designed a program that gave each of the execs $250,000 in monthly disability income benefits with an additional $15,000,000 payable in the event of a career ending disability.

Private Wealth Workshop

Thu, 24 Sep 2009 12:00:00 +0000

Exceptional Risk Advisors’ CEO Ted Tafaro will be giving a special presentation, Perspectives from a Lloyd’s of London Underwriter. The event is directed by Hannah Shaw Grove, author of Inside the Family Office and Executive Editor of Private Wealth magazine.

To view the itinerary for this event, click here.

For for information, or to reserve your seat, contact Steve Kimball at (732) 450-8686 ext. 12 or skimball@pw-mag.com.

Video: High Limit Income Coverage

Tue, 01 Sep 2009 20:18:27 +0000

A brief presentation on how Exceptional Risk Advisors, through our relationship as Lloyd's of London Coverholders, can protect up to 60% of your most affluent client's income through our unique disability insurance products.

Case Study: Academy Awards

Sat, 01 Aug 2009 15:47:52 +0000

You know you need Exceptional Risk Advisors when...

Emmy And Oscar Aren't Your Client's Grandparents

Advisor challenge

Protect an Academy Award winning actor's multi-million dollar income in the event he's disabled.

Solution

Working with the insurance advisor, ERA designed a personal disability income policy which would pay the entertainer a monthly benefit of $100,000 per month for a five year period. In the event the actor was permanently disabled, our policy would respond by paying an additional lump sum benefit of $10,000,000.

Case Study: Oversea Assignment

Wed, 01 Jul 2009 13:32:11 +0000

You know you need Exceptional Risk Advisors when...

Your Celebrity Client Is On A 7:30 A.M. Military Transport To Baghdad

Advisor challenge

Quickly locate protection for an "A list" entertainer headed for Iraq.

Solution

This industry leading advisor came to Exceptional Risk to secure protection on a celebrity client that was hitching a ride on a military aircraft to entertain the troops. Specialists in war and high risk, we knew how to get the job done - quickly and cost efficiently. The coverage period was for less than a week. Within hours, we underwrote and bound a $10 million life and disability policy utilizing our Lloyd's binding authorities.

So next time you need coverage for a tough overseas assignment - whether it's for a celebrity, consultant, contractor or security personnel, see what we can do for you.