The Willis global captive practice has set up a Willis-owned and managed protected cell company (PCC) insurance facility in Vermont.
The new facility, Encore Insurance, will underwrite US risks and provide clients with the benefits that come with the operation of a captive insurance company for those who may lack sufficient premium volume or may not wish to operate their own.
Encore will be managed by Willis Management Vermont, which is headed by managing director. David Guerino.
Willis believes that in certain circumstances a protected cell structure provides a more cost-effective solution than a traditional standalone captive insurance company.
The segregation provisions of PCC legislation provide clients with a secure underwriting account without pooling assets and liabilities.
Through a PCC, clients can realise the benefits of captive ownership with potentially lower capital commitments, reduced operating costs, and less management time commitment, according to Willis.
Paul Owens, CEO of global captive practice at Willis, commented: “Encore is a welcome compliment to Willis’s offering of PCC facilities and similar structures that we operate in Bermuda, Barbados and Malta. Our choice of Vermont allows our US clients advantages while operating in one of the most respected and business friendly domiciles.”
