Green Mountain launches group captive for rented property sector
Green Mountain Sponsored Captive Insurance Company has launched a group captive profit center program for the rented property sector.
The program, called Greenguard, is for owners and providers of multi-family properties and is designed to ensure tenants have adequate liability coverage. It provides protection for property owners’ personal assets, and generates income for property owners and managers to reward their efforts in marketing and administering the program.
Green Mountain said: “For the multi-family property industry, a profit center captive can be especially useful, as increasing numbers of new apartments nationwide often means increasing the level of self-insured losses caused by fires, natural catastrophes or the negligence of their residents and tenants. The Greenguard program offers property owners and managers an opportunity to provide protection for such losses while offering their residents and tenants convenience in complying with insurance requirements under their lease or rental agreements.”
Structured as a group captive, Greenguard shares its expenses among members, minimising costs for clients, while distributing underwriting profits to members, but without the financial burden of the program’s member putting up capital or collateral.
Strategic Risk Solutions, a Green Mountain shareholder with over 500 captive programs under management, provides captive management services, and helped to design the Greenguard program.
Brady Young, president at SRS, said the rented property sector needs increased transparency. “We have large clients that already do this on their own but this program will enable mid-size companies to access the same benefits on a turn key basis with no upfront investment,” he added.
Chris Kramer, managing director of Green Mountain, predicted the “ease of participation and lack of financial risk will entice candidates to use our program.”