Religious institutions update: December 2014 Holland & Knight LLP Nathan A. "Nate" Adams IV

Every year, religious institutions spend millions purchasing insurance of various types from insurance companies. Many will never make claims on the policies remotely equal to their annual investment in premiums. In these circumstances, religious institutions have reason to consider captive insurance in those jurisdictions where it is permitted. Captive insurance companies are insurance companies formed by the insured with the specific objective of insuring risks emanating from a parent company or group of companies. The advantages can be substantial; for example, after "endowing" the captive insurer, the parent no longer has to make annual "premium payments" unless the captive has an unexpected pay out period. Like ordinary insurers, captive insurers must convince regulators that their business is sound from an actuarial and financial perspective. Typically, captive insurance companies hire outside specialists to assist with this. They retain the underwriting profit and investment income, preserve control over how the religious institution pays losses and settles claims, can develop their own forms and rates based on the insured's experience, and, where necessary, may seek reinsurance to protect against remote risks. Captive insurers can tailor their products to exactly the payout history of your organization, whereas commercial insurers typically lump your risks into the risk profile of other organization. By retaining control over settling claims, captives are able to benefit directly from enhanced loss prevention programs and effective claims management. Not all types of insurance can be insured through captives; not all states authorize captives for every type of organization; and not all risk profiles or organizations can benefit from captives. Smaller organizations may want to join together to benefit from captives. Experienced and sophisticated management from at least outside vendors is important. But when the elements for captive insurance are satisfied, it is an excellent way to benefit from effective risk compliance programs and to steward donated resources. Holland & Knight can provide additional information about captive insurance companies if you are interested in learning more.

World Trade Centre reopens in style after 13 years

After 13 years of the 9/11 attack, the World Trade Center is re-opening for business & has been renamed One World Trade Center.

Standing at 541 meters with 104 floors, it is officially America’s tallest building and cost
$3.9 billion to put the skyscraper together. One of the first tenants, publishing giant Conde Nast started moving in yesterday, Anna Wintour, the editor of Vogue, is said to be moving to the 25th floor with her staff, while Vanity Fair editor, Graydon Carter, has chosen the 41st floor. An official opening ceremony date is yet to be fixed.

The old twin buildings went down on September 11, 2001 after it was hit by two planes hijacked by the  al-Queda.  terrorist group, click for more pics.....