Our Platform / Life Risk Solutions
The Risks Most Brokers Can't Name.
Contestability. Insurable interest. Missing-body. Residual value. For two decades we have built coverage for the exposures unique to life insurance, settlements, and longevity — the ones that stall transactions because no one else knows how to transfer them.
Built For
When a life transaction hinges on a risk the market won't hold, we structure the transfer.
As life insurance evolved into complex financial instruments — premium-financed policies, portfolio securitizations, life settlements — it created a class of risks that traditional coverage was never designed to address. We fill that gap. Our clients are life insurers and reinsurers, brokers of large policies, and the hedge funds, banks, and settlement investors who need those risks off the table before they'll commit capital.
By removing exposures that would otherwise be retained at high cost, our structures let these parties lock in profits, eliminate uncertainty, and transfer transactional risk cost-effectively.
Coverage We Structure
Eight solutions for the life market's hardest risks.
Select any solution to see how it works.
A life carrier can contest a policy's validity within the first two years — canceling coverage or refusing a death-benefit claim on grounds of suicide or material misrepresentation. If it succeeds, the owner is left out of pocket for the interest and costs of procuring the policy. We developed a contestability program with an AA-rated P&C carrier that indemnifies the owner if the life carrier prevails — creating liquidity for investors in newly incepted policies.
Unlike contestability, a carrier can rescind for lack of insurable interest at any time in many states — refunding premiums and canceling the policy. We structured insurable-interest coverage with AA-rated P&C carriers that indemnifies the owner if a life carrier successfully rescinds on those grounds, giving life-settlement investors durable safety and assurance.
Where an insured is lost — at sea, say — a life carrier may refuse to pay a death benefit for lack of a body while an annuity carrier refuses to continue paying the annuity. The result is a liquidity mismatch that can break a structure. Our missing-body coverage bridges that gap, and in doing so enables annuity-arbitrage transactions that couldn't otherwise be financed.
Provided by a P&C insurer, this coverage guarantees payment of the death benefit at the anticipated life expectancy plus one year if the life is still living, with a claim of 80–100% of the covered face amount. A Commitment of Coverage can be secured before binding — valid for ninety days — allowing clients to acquire policies only after confirming LE coverage is available for the aggregated portfolio.
This P&C policy sets a floor value for a life policy two years forward, at the point of a potential sale into the secondary market. Like buying a put, it reimburses the holder if the policies can't be sold for at least the premiums paid plus funding interest. We are the only group to develop and offer this coverage — and it lets settlement organizers lower their cost of capital.
Alongside pricing and an investment memo for each policy, we provide chain-of-title review, closing documentation, fraud review (insurable interest, STOLI, medical and issuance fraud), individual policy valuation, premium-stream validation, state regulatory review, data-consistency checks, contestability review, tail and maturity risk analysis, and lien clearance — a complete diligence package for any portfolio.
Guaranteed life products carry fixed costs; current-assumption products can rise in price as mortality, investment, and expense assumptions shift. We are developing a P&C gap program to let current product perform as guaranteed — the only group pursuing this coverage, and one that materially improves annuity-transaction economics.
We developed gap coverages for a transparent structure in which a high-net-worth individual donates excess insurability: the charity receives an upfront cash settlement from the sale of high-face-value coverage into the senior-settlements market. Our coverage mitigates risks the structure couldn't otherwise bear. To date the program has been used by fifteen non-profits and raised over $20 million — cashless from the donor's perspective.
Selected Research
When the market needs a risk understood before it can be priced, firms come to us.
Our analytical work has been commissioned by the institutions that shape this market: major life reinsurers seeking to quantify the true economics of annuity arbitrage; investment banks mapping the embedded risks in life-settlement portfolios; hedge funds pricing settlement transactions; a U.S. bank examining the risks of non-recourse premium financing; a P&C carrier dissecting why a Lloyd's syndicate's LE-coverage program failed. In each case, the deliverable was the same: a risk made legible enough to transfer.
Proof
Coverage placed. Deals closed.
Collateral Gap
A leading institution's complex life transaction was in jeopardy after it failed to secure coverage. We designed a collateral-gap policy priced to appeal to many carriers rather than one — and had a policy issued within eight weeks, enabling the deal.
Portfolio Valuation
A top-ten investment bank couldn't get an acceptable price for a distressed settlement portfolio. Using our proprietary valuation strategy and hedge-fund relationships, the bank drew bids in excess of the calculated portfolio value and closed the sale.
Whatever the life-related risk, it can almost certainly be transferred.
Tell us what's standing between your transaction and close.