Accounts Receivable Credit Wrap

To protect your company’s financial resources, Eichlitz’ seasoned professionals can arrange a policy to safeguard your accounts receivable. This policy protects your accounts receivable from unexpected and catastrophic losses resulting from a customer’s insolvency or protracted non-payment, generally six months from the due date. Based on your needs, this coverage can be designed for a broad portfolio of receivables or a group of key accounts with application for sales in the U.S. or to most U.S. export destinations. Our team will work closely with your company to tailor a policy that meets your requirements.

Deferred Compensation Asset Coverage

In recent years, a number of senior corporate executives and other management members have entered into non-qualified deferred compensation programs. Under these programs, a portion of the employee’s compensation is withheld and placed in an account managed by the company. The employee faces certain risks since the funds are held in an account managed by the company and, in the event of a bankruptcy, the employee becomes a creditor of the company. To offset this risk, the Wortham Group can help you acquire a deferred compensation asset policy that provides for the indemnification of the value of the employee’s deferred compensation assets in the event of a bankruptcy.

Intellectual Property and Copyright/Patent Infringement Coverage

At a growing number of enterprises, the value of their organization’s intellectual property presents a significant risk exposure. To protect your company, the Eichlitz team can assist in the placement of coverage tailored to provide protection for the cost of litigating your intellectual property and copyright/patent issues as well as the possible liability for litigation-related damages.

Loss Portfolio Transfers

Under a loss portfolio transfer, your organization’s liabilities, which are generally reserved on the balance sheet, can be legally assumed by an insurance company. Such a transfer may be undertaken to facilitate an acquisition or divestiture by removing the obligation from the balance sheet and providing risk transfer that limits exposure to additional liabilities. Our experts can determine if a loss portfolio transfer can meet your company’s needs.

Power Generation Outage Coverage

Companies that produce or purchase electric power can protect their exposure to spot market prices of electric power following a full or partial outage at a power plant. Generally, two events trigger this coverage: the full or partial outage at a power plant and the subsequent spot market price in excess of the predetermined strike price. We can arrange a policy that will indemnify your company for the difference between the cost of replacement power and the strike price.

Representations and Warranties Insurance

To give our clients additional protection during the sale of a business or asset, Eichlitz and the Wortham Group can arrange coverage for representations and warranties associated with the sale. Whether you are the buyer or seller, this coverage can alleviate many concerns related to these provisions, facilitating the completion of the transaction while also protecting you from financial loss caused by a breach of a representation or warranty.

Event Cancellation and Weather Risk Coverage

For event promoters, we place special coverage in case the event is cancelled, postponed or interrupted. We will develop a thorough policy that can indemnify you for your obligated expenses, including advertising, promotion and production costs or your anticipated income.

Like insurance products that hedge exposure to interest rate or commodity price risks, weather risk coverage can hedge your company’s exposure to weather. Our team can design a wide array of weather products to protect your company, ranging from a specific exposure such as an outdoor event, costs related to plant shut-down for hurricanes, or in balancing weather-related revenues over a period of time.