Alternative Risk Financing

More robust risk finance strategies equals more resilient organizations. As companies seek broader customization and tailored flexibility for a growing number of risk scenarios, Newfront offers guidance to help our clients make informed decisions around alternative risk financing solutions.

Our approach

With any structural change, it’s critical to ensure premium savings are commensurate with the additional risk assumed, at the very least. We lean in to help you assess and weigh your options.

team, group, four circles, flower

Know the players

We maintain strong relationships with a variety of non-traditional capital sources with appetites for financing corporate risk.

three dots

Outline the possibilities

While the landscape is constantly changing, we deeply understand the opportunities and propose alternative risk financing solutions aligned to risk management needs along with potential utilization scenarios.

magnifying glass

Analyze the options

We quantify both the fixed and frictional costs associated with the formation of captive or other structures, articulate funding requirements, and outline structural opportunities.

bullseye, circles

Propose optimal strategy

Finally, we make a recommendation and lay out the best possible structure alternatives, tailored to your business needs and risk appetite.

The Newfront difference

person with glasses and tie holding a manual

Robust and unique solutions

From single parent captives to integrated risk solutions, we have expertise providing access to both traditional and non-traditional sources of capital and risk financing solutions. Our access to diverse range of offerings includes:

  • Captive solutions

  • Risk retention groups

  • Parametric or event-based insurance offerings

  • Multi-year single limit (MYSL) solutions

  • Integrated risk solutions

  • Loss portfolio transfers

  • Managing general agency (MGA) programs

Two men shaking hands

Alternative Risk Financing

Leveraging a Captive

Escalating costs and tighter coverage restrictions across a variety of industries and product lines are driving an uptick in captive utilization. An alternative risk financing tool, can provide improved cost management and insulation from market volatility, customized coverage, greater control in claims handling, and long-term stability. Our team is well versed to assist on a variety of captive solutions, including:

  • Single parent captives

  • Group captives

  • Cell-captives

  • Employee benefits captive