Discover Lockton's Alternative Risk Solutions to navigate complex business risks like natural disasters and cyberattacks. Explore innovative solutions, including captive insurance, structured risk solutions, and parametric insurance, that help businesses stay resilient and financially stable. Gain greater control over your coverage, reduce insurance expenses, and ensure operational continuity with our tailored risk management strategies.
Alternative Risk Solutions
Creative solutions for complex risks
Business is becoming an increasingly complex risk environment with new threats like natural disasters and cyberattacks requiring creative solutions that address business-specific needs or blind spots in traditional insurance coverage. For that, we offer Alternative Risk Solutions.
What can this mean for you?
Advances in technology that measure triggering events and prolonged traditional insurance claims are making alternative risk solutions increasingly popular. As market premiums change and coverage may be inadequate, companies are using gap-fill policies to stay operational after triggering events. Businesses can also feel confident by having greater control over their coverage by retaining some risk and maintaining reserve funds for growth, balancing, or lowering overall insurance expenses. These strategies ensure your business remains resilient and financially stable amid uncertainties.
If your organization is ready to take on different risk types, our dedicated Alternative Risk Solutions team will help determine what you need. Here’s how it works:
- We’ll fully assess your risk exposure with a team of experts, supported by modelers and data scientists.
- We’ll focus on creating efficient, customized solutions for your business needs.
- We’ll make sure you understand each option.
- You’ll have peace of mind your assets are protected.
Types of alternative risk solutions we offer
We offer alternative risk solutions that go beyond traditional insurance. Our expertise include captive insurance, structured risk solutions, parametric insurance, and alternative collateral solutions to help you manage and finance risk effectively.
Captive Consulting
Companies looking to ensure risks and those of their subsidiaries and affiliates independently can turn to Lockton to use a captive for coverage that fits your unique needs. You will benefit from an objective approach because we aren’t a captive manager. And you won’t be pushed toward any specific option. We can help you identify the type of captive that best aligns with a company’s financial goals and risk management objectives. Learn more here.
Parametric Insurance
When a natural or human-made disaster happens and meets certain predetermined conditions, parametric insurance can come in swiftly, typically before a traditional insurance assessment, and quickly pays out a pre-agreed loss amount. We design customized parametric insurance solutions that address the gaps and lag time of a traditional property insurance. Learn more here.
Structured Risk Solutions
This non-traditional insurance solution is a multi-year program with shared risk components, tailored to your needs. Businesses can benefit by reducing their dependence on traditional market cycles, retaining more control over their risk exposure, and mitigating volatility. We ensure a strategic and effective transition from traditional insurance models to a more stable and flexible risk management approach.
Alternative Collateral Solutions
As more risk is retained within an insurance program, it could drive the need for additional collateral to be posted to an insurance carrier. We help businesses find creative strategies to mitigate or minimize fixed costs linked to collateral. This can be a beneficial way for organizations to free up cash flow to support their business.
We also help businesses explore strategies to deleverage their balance sheets through loss portfolio transfer solutions. With this approach, businesses can move legacy insurance exposure to traditional insurance carriers or alternative capital markets.
Explore our capabilities
We design alternative risk insurance solutions that fit your needs, not ours.
The risk of not having alternative risk solutions
What’s at stake for your company if you don’t cover all your bases? How much could you stand to lose? Without the right insurance solution, your business risks downtime and setbacks. Don’t let unforeseen events catch you off-guard. We’ll create a comprehensive risk strategy aligned with your financial priorities, which means fewer vulnerabilities and faster recoveries from adverse events.
What makes Lockton different
Lockton’s Alternative Risk Solutions Practice helps organizations understand and assess risk financing options. We simplify finding solutions that meet your goals, protect your balance sheet, and satisfy stakeholders, while creating an elevated experience.
Navigate Alternative Risks with Confidence
We help you understand the probabilities and volatilities of each solution so you can make informed decisions on recommended programs and easily communicate the benefits to C-suite stakeholders.
Actionable Insights Through Data and Analytics
We provide analytics that can simulate potential claims and recommend program setups customized to protect your interests. This way, you can make better decisions about optimizing your risk profile.
Unified Expertise for Informed Decisions
We don’t work in siloes. Our specialists know the entire alternative risk landscape and can help buyers see and understand how to protect their balance sheets, given their risk tolerance and profile.
Partners In Success
Our dedicated team welcomes your involvement throughout the entire process. We value your presence at the negotiation table. We strive to partner with clients in shaping and designing solutions.
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Contact us
Peter Rapciewicz
EVP, Alternative Risk Solutions Practice Leader
prapciewicz@lockton.com
+1 646 572 7380
Ellen Sue Bernards
SVP, Managing Director, Operations and Development
ebernards@lockton.com
+1 816 381 3679
Philip Stack
SVP, Managing Director Strategic Projects
pstack@lockton.com
+1 816 381 3056
