What are some great benefits of being a personal brokerage agency?

Mike Milligan (pictured), the managing director at C3 Threat & Insurance coverage Providers, believes there are many benefits to being a privately held brokerage agency. In an interview with Insurance coverage Enterprise, he highlighted that the absence of shareholder strain permits a privately held agency like C3 to constantly prioritize shoppers and staff and supply forefront analysis and merchandise for shoppers’ profit.

“I’m undecided a publicly traded agency can do this to the specialised extent that we will,” he mentioned.

A big a part of C3’s shopper and worker focus includes creating know-how to raised inform their shoppers. Milligan defined that C3 has developed new instruments and platforms, giving them an edge in analysis and outreach. These instruments embody C3 Profile, which supplies complete public firm data immediately; C3 Lightning, which expedites worldwide medical trial placements throughout 125 nations; and C3 The Reply, a software that analyzes 13,000 administrators and officers (D&O) lawsuits in 80 alternative ways.

The know-how isn’t just about effectivity and offering the most effective data to their shoppers, but additionally about advancing the trade. Milligan famous the historic reliance on hypothetical knowledge in D&O. He recounted that in his first IPO, D&O legal responsibility insurance coverage price $428,000 in premium for a $30 million restrict.

“The board didn’t spend time on D&O,” he mentioned. “Premiums elevated into the hundreds of thousands yearly and D&O turned a poison in our trade.”

Milligan identified that The Reply was constructed for such conditions. It addresses troublesome questions like how a lot insurance coverage a enterprise wants, the implications of insider possession throughout litigation, and the affect of assorted monetary situations. The know-how of The Reply offers C3 shoppers a extra correct, nuanced evaluation and outlook of their insurance coverage wants, all primarily based on precise collected knowledge as a substitute of hypothetical projections.

With their specialised know-how and platforms, Milligan emphasised the methods by which particular knowledge can higher forecast insurance coverage wants for his or her shoppers.

“We meet with a D&O prospect who has Part 3 outcomes coming,” Milligan defined. “They are going to file an NDA and get an FDA determination. We will search for Part 3, NDA, CRL lawsuits and present what number of fits have occurred. We will inform boards go well with dismissal charges, settlement charges, settlement quantities, and market cap issues.” 

Dedication to shoppers

The dedication to particular person shoppers and staff is greater than a speaking level for Milligan and his staff – it’s the inspiration of how they function. Expertise with knowledge pushed selections and steerage is important to their technique of serving to their shoppers – a lot in order that Milligan even as soon as satisfied a board member towards shopping for $100 million price of insurance coverage.

“I promote insurance coverage for a residing. I’m completely happy to promote you $100 million. However listed here are your danger components,” Milligan suggested the board member after using The Reply to develop a cushty answer. 

Whereas the trade has seen vital consolidation with a relentless tempo of mergers and acquisitions, there was a subsequent shift from privately held to publicly held possession. Nevertheless, C3 has seen development by 35% yearly for 4 years, all because it remained privately held.

With plans to keep up its impartial development and technological edge, C3’s shopper roster – together with firms with market caps starting from $100 million to $50 billion – is a testomony to its method.

“We work with actually superb firms as a result of they belief us,” mentioned Milligan. “We’re completely targeted on our shoppers and our staff, and that’s what makes the distinction.”