Lloyd's of London is one of the most recognizable brand names in the world, representing the highest standard in the insurance industry. While being considerably less famous as an insurance provider, Security America Risk Retention Group (SARRG) has remarkably strong ties with the British insurance provider.
In early September, Lloyd's hosted a full day of meetings at its London headquarters with Merlin Guilbeau, executive director of the Electronic Security Association (ESA); Bart Didden, SARRG board member and executive claims manager; and Richard Poling, managing director of Beecher Carlson, which underwrites insurance offered by SARRG. Those meetings solidified a relationship between SARRG and Lloyd's that is entering its second year, and is expected to continue well into the future.
SARRG was formed by ESA in 2003 as a way to offer affordable and stable insurance – including general liability and Errors and Omissions – specifically tailored to the electronic security industry. It is a "risk retention group” that is owned collectively by policyholder member companies, all from the same industry.
"It's the only insurance program that's backed by ESA, and is completely dedicated to this industry,” Poling said. "We know the risks better than anybody else. Companies know that we understand the business, and we're in it for the long term.”
The bond between Lloyd's and SARRG comes from the concept of "re-insurance.” Beecher Carlson underwrites policies issued by SARRG, Poling said, but there might occasionally be a claim that goes beyond a certain monetary threshold. That kind of claim would be handled by the resources and considerable financial backing of re-insurance provided by Lloyd's. The result is increased security for SARRG policyholders, Poling said.
Poling said that the September visit provided a special opportunity for all parties to meet face to face. Lloyd's isn't just an insurance company, but a marketplace where insurance providers and customers come together to create cost-effective, risk-management relationships. So Guilbeau, Poling and Didden met with each of the SARRG-connected insurance syndicates that are part of Lloyd's market.
It was the first time representatives from SARRG and ESA had gone to London to meet personally with insurers. Meetings started early in the morning and went well into the evening.
"Lloyd's has all the information on paper, but they want to meet who they're doing business with, make sure they see the same story that they're getting on paper, and get to know us,” Poling said. "The purpose of the meeting was to make sure that Lloyd's understands and agrees with all of our practices.”
Poling said the meetings went very well. "Now there's a high level of understanding about what Security America is doing,” he said, "and Lloyd's syndicate has bought into that. We have good partners who really understand the program and are willing to work with us when we need them.”
SARRG currently provides more than 800 policies for security industry companies, and has received a B++ rating from A.M. Best. Any company interested in obtaining insurance can get more information – as well as a free, no obligation quote – by calling (866) 315-3838; via e-mail at email@example.com; or by visiting the SARRG website at http://www.securityamericarrg.com/.