Derek W. Freihaut
Laura A. Maxwell
Aaron N. Hillebrandt
Gregory W. Fears, Jr.
Erich A. Brandt
Robert J. Walling III
Joseph A. Herbers
Darcie R. Truttmann
The actuarial team effectively communicates their findings in a way which is easy for a layperson to understand.
Pinnacle helps alternative market risk owners, captive managers and service providers determine risk retentions that optimize the balance between the cost of risk transfer and loss volatility.
Pinnacle strives to construct benchmarks for any analysis, whether ratemaking, loss reserving or some other use, as close as possible to replicating the nature of the underlying data being reviewed.
Pinnacle provides loss reserve analyses and other
diagnostics in support of collateral negotiations associated with deductible
and/or self-insured retentions.
Pinnacle is experienced developing cost allocation mechanisms
by member or department in the most equitable manner using elements such as –
exposure, geographic cost differences and actual loss experience.
Pinnacle’s consultants are experienced in helping
lawyers ask the right questions and understanding the answers in depositions of
other actuarial expert witnesses.
As one of the largest industries in the world, the transportation industry includes a wide variety of companies that face constant liability exposures.
Regardless of your industry segment, you must deal with these exposures every day. Taxicab and livery risks depend on unique workers compensation laws and dramatically different usages by operator. Bus operations face a variety of legal differences by state. Trucking companies deal with issues ranging from pollution claims for tankers, cargo liability for less than trailer load (LTL) operations, and spoilage risk for agricultural and refrigerated trucking, just to name a few.
At Pinnacle, our focus is to quantify your claims liabilities’ expected ultimate costs and reflect your risk exposures’ unique characteristics. Our extensive experience indicates such exposures are not only manageable, but are controllable. Effective loss control, risk management and safety programs are essential to keep costs in check.
To help address your needs, we consider the multitude of your operation’s real world circumstances to the maximum extent possible. Our reserve analyses estimate proper accruals for prior years’ claims. Our funding studies can estimate expected costs for next year’s claims. We can also help insurers design a specialty insurance product for your specific business requirements.
Whether your goals involve developing rates for trucking, taxi and school bus insurance products, funding feasibility studies for single parent and homogeneous group captives owned by trucking and public livery companies, analysis of transportation reinsurance programs or more, Pinnacle provides the tools and solutions you need to achieve your goals.
Our expertise with transportation companies includes:
July 2019 APEX Webinar
Causes of Recent Reserve Development
Authored by Erich A. Brandt and Gregory W. Fears, Jr..
September 13 2018 APEX Webinar
Technology’s Impact on Personal and Commercial Auto Insurance
Authored by Robert J. Walling III.
See More »
Pinnacle provides the loss reserve analysis and statement of actuarial opinion to the Bermuda-domiciled captive of a major national long haul trucking company for over a decade. This reserve analysis examined the captive's coverages for excess automobile liability coverage, deductible reimbursement under a large deductible workers compensation policy and cargo liability and physical damage coverages. The analysis utilized both company loss development triangles and industry benchmarks. Once the reserve analysis was completed and discussed with the client, the statement of actuarial opinion was produced to comply with regulatory requirements. Our excellent working relationship with the captive’s auditors simplifies the work of both firms on behalf of the captive.
Captive Dividend Assessment
An onshore, single parent captive was concerned with the amount of retained earnings and wanted to establish a policy for the minimum capital for the program to trigger dividend distributions. Pinnacle compared the program’s capitalization to a wide variety of industry standards for similar programs from rating agencies, regulators, and other sources. The results of this analysis lead to a recommended board policy regarding a minimum capital threshold for dividend distributions and ultimately to a significant dividend being declared to the parent company.
Pinnacle serves many of the largest group captives in the world, many of them domiciled in the Cayman Islands. These reserve analyses are typically produced twice a year and serve multiple purposes. First, they provide a range of reasonable estimates which management uses to determine their best estimate of ultimate losses and unpaid claims liabilities. Second, these reserve estimates can then be allocated to individual members to determine the outstanding liabilities and potential future assessments, if any. Finally, the allocated ultimate losses become the basis for renewal pricing estimates for each member. Pinnacle’s approach to estimating and allocating reserves in group captives is unique in the industry and sets our alternative practice apart with its efficiency and accuracy.
At Pinnacle, we partner with you to explore whatever path it takes to find the answers you need.
April 15, 2021
April APEX Webinar -
Warranties, Guarantees and Actuaries: Adding Value with a Captive