Mactavish Strengthens Advisory Board with PE Industry Experts
Experts in the insurance sector, Mactavish, has recently expanded its capabilities by establishing a Private Equity (PE) Advisory Board. This strategic move is aimed at addressing the critical insurance gaps that are often present within the private equity industry. The board has been appointed with two renowned leaders, Steve Darrington and Yann Soulliard, who bring a wealth of 50 years of combined experience in the field.
Addressing Insurance Gaps in Private Equity
The establishment of this board is crucial as many private equity firms face exposure to unaddressed claims. Notably, many businesses find themselves inadequately covered due to a lack of awareness regarding the risks inherent in their operations and those of the companies within their portfolios. Mactavish's CEO, Bruce Hepburn, emphasized that numerous firms often select insurance policies that fail to meet their specific needs, leaving them vulnerable during crucial times.
The Importance of Tailored Insurance
Mactavish has identified several deficiencies in the insurance coverage that private equity firms typically encounter. For instance, companies providing on-site IT support may not be sufficiently covered for claims resulting from their services on third-party systems. Similarly, fintech companies have received inadequate advice regarding essential coverages such as professional indemnity and cyber liability. Furthermore, supply chain interruptions can leave sole-source manufacturers without protection, while some insurance schemes might exclude critical entities or services entirely.
Experience of the Advisory Board Members
Steve Darrington expressed his enthusiasm for chairing the PE Advisory Board at Mactavish, drawing from his firsthand experiences in private equity. He acknowledged the significant challenges posed by poorly constructed insurance agreements and the critical role that Mactavish played in resolving these issues during his prior tenure in the sector. His insights will be instrumental in guiding Mactavish's initiatives to better support private equity firms.
Market Dynamics and Implications
As the insurance landscape is shifting towards a 'soft' market phase, many companies may find dropping premiums to be advantageous. However, this can lead to a scenario where insurers may become more selective and reject claims citing inadequacies in insurance contracts. Hepburn noted that disputes over unpaid claims have risen sharply and are expected to continue growing as insurers tighten their belts and limit payouts. The rising trend of litigation underscores the importance of acquiring appropriate insurance from the get-go, rather than attempting to rectify problems later on.
The Role of Mactavish in Claims Resolution
Mactavish prides itself on being the UK’s foremost independent outsourced insurance buyer and claims resolution expert. They leverage their technical knowledge and commercial savvy to design insurance programs that are not only cost-effective but also suit the unique risks faced by their clients. By positioning themselves as advocates for their partners, Mactavish ensures that the interests of their clients are always prioritized.
Independent Expertise in Claims Processing
The claims practice at Mactavish, which operates under the leadership of Law Commissioner David Hertzell, focuses on providing impartial and expertly tailored advice. Their multi-faceted approach involves collaborating with a diverse range of specialists to ensure robust insurance solutions are developed. This collaborative effort significantly enhances their capability to secure the best possible outcomes for clients when navigating claims against insurers.
Contact Mactavish for Tailored Insurance Solutions
For organizations seeking to address their insurance needs effectively, Mactavish is an invaluable partner. Their commitment to independence and expertise ensures they deliver solutions that resonate with the needs of private equity firms and beyond. To learn more, they can be reached at jamesoconnor@mactavishgroup.com or by calling +44(0)207 046 7956.
Frequently Asked Questions
What is the purpose of the Mactavish PE Advisory Board?
The board aims to tackle insurance deficiencies that affect private equity firms, providing expert advice and tailored solutions.
Who are the key members of the new Advisory Board?
Steve Darrington and Yann Soulliard are the experienced leaders brought in to help guide the focus of the Advisory Board.
What are some common insurance gaps in the PE sector?
Common gaps include inadequate cover for IT support claims, lack of professional indemnity for fintechs, and exclusions of critical services from insurance programs.
How is the current insurance market affecting private equity firms?
The shift towards a 'soft' market with falling premiums may lead insurers to be more selective, potentially resulting in higher litigation over claims.
How can Mactavish assist clients in managing claims?
Mactavish supports clients by offering independent advice and leveraging a multi-disciplinary team to navigate claims efficiently and effectively.