Pre-Purchase Services

Gain Better Market Access 

Insurance carriers’ appetite for new business varies considerably, making it difficult for banks to implement a BOLI plan featuring the most competitive terms and pricing.  As your independent advisor, we apply 25 years of experience to drive a rigorous RFP process on your behalf.  The result is access to several insurance carriers eager to earn your business based on merit.  

The benefits of our well-honed, comprehensive process are demonstrated by the numerous industry-firsts we have achieved while placing $10 billion of aggregate, variable separate account premium, including cost savings and unsurpassed Representations, Warranties and Indemnifications (RWIs).

Demonstrated Value

  • We drive a competitive process among carriers and negotiate aggressively.
  • Typically save clients $10-$20 million (NPV) on transactions ranging from $100 million to $1 billion.
  • A single client saved over $60 million (NPV) as a result of our proven process.

Unsurpassed RWIs

  • Our aggressive negotiations with carriers often result in confidential/proprietary RWIs for clients.
  • We educate clients on RWIs that will maximize their flexibility over the long life of their BOLI policies.
  • We advise clients on balancing RWIs relative to pricing.

100% Transparent

  • Our compensation is fully disclosed in advance and warranted in writing.
  • Our compensation is the same regardless of which insurer(s) you choose.
  • We guarantee performance – if we fail, we don’t get paid.

Industry-leading BOLI Pre-Purchase Services

You can expect the highest quality representation from us for exploring a BOLI purchase, from carrier negotiations to plan implementation.  We expertly manage the entire process for you.

Needs Assessment

Identify the specific risk of loss exposure or the specific benefit plan costs to hedge or be recovered.

Comparative Analysis

Empirically analyze alternatives to BOLI that might achieve your goals.

BOLI Quantification

Assist with the quantification of BOLI necessary to achieve targeted financing goals, including financial sensitivity analyses to assess long-term compliance and the relationship between BOLI plan performance and your benefit obligations.

Carrier / SVP Selection

Manage all aspects of screening and negotiating with carriers:

  • Issue a request for information and proposal (RFP) to carriers to ascertain their BOLI experience and commitment, risk management and controls, product terms and expenses.
  • Conduct due diligence on bidding carriers.
  • Aggressively negotiate terms and policy costs with the top responding carriers.
  • Ensure policies are filed and approved in all applicable states.
  • When applicable, pursue similar process to select SVP providers and investment managers.

Financial Impact

Prior to the issuance of any policy, provide financial projections of policy performance and potential impact of illiquidity based on current and guaranteed costs, a range of mortality experience, interest rate yields and unwind scenarios.

Documentation & Underwriting

If you conclude that a BOLI plan is in your best interests:

  • Assist with the organization and formatting of due diligence findings and conclusions to present to management and the board of directors.
  • Recommend and provide examples of procedures, processes and work products to facilitate thorough, efficient ongoing administration of the BOLI plan.

Once the BOLI plan is implemented, many clients retain us to provide on-going BOLI Administrative Services or BOLI Advisory Services to make sure they are getting the most out of their program. 

To learn more about our BOLI Pre-Purchase Services, contact us by clicking here.