1

Insurance and Financial ServicesMay 2016

2

Risk Transfer Insurance Agency

2016

Risk Transfer Insurance Agency (RTIA) is a full service program administrator. RTIA was founded in December 2000 specializing in developing specific Workers’ Compensation programs for Professional Employers Organizations and Temporary Staffing.

Since its inception, Risk Transfer has underwritten over $1B+ of PEO and Temporary Staffing workers’ compensation premiums and formed numerous industry-specific carrier programs. It has further evolved into a hybrid business model easily customized to fit each of their carrier partners.

RTIA is a member of the Capacity Coverage Company of New Jersey, Inc. (“Capacity Coverage”). Capacity coverage was founded in 1990 and currently produces in excess of nine hundred million dollars ($900,000,000) of gross written premium annually.

3

Risk Transfer Insurance Agency

i3 Analytics was formed to provide the “art and science” of risk management and business intelligence. The scientific or process portion of i3 has been developed in-house and represents a large financial investment the value of which differentiates RTIA’s long-term underwriting profitability. i3 has introduced cutting edge data visualization technology, predictive modeling and performance analytics to the insurance industry. i3 provides services to agencies, insurers, third party administrators, SBAs and staffing companies.

Risk Aware (outsourced underwriting platforms and cost containment programs) provides comprehensive risk management analytics. Risk Aware was formed in 2007 to focus on customer advocacy and cost containment for RTIA clients.

2016

4

Your Team of Industry ExpertsRisk Transfer Insurance Agency is a full service MGA that maintains a core discipline on providing insurance solutions for various commercial industries. We utilize our industry expertise and carrier relationships to deliver consultative solutions for our clients, while also advising our clients on how to mitigate their risk exposures.

• Your account is assigned to a team of industry specialists who are dedicated to providing a wealth of resources to service your needs.

• Our approach ensures that managing your insurance program is seamless and easy for you.

• Risk Transfer provides all of the products and services you need from one source.

2016

52016

Risk Transfer gives you the tools to grow your business and the resources to mitigate your costs.

6

Policy and Certificate Resources• Online 24/7 access to certificate of insurance

• Speed of delivery to certificate holders to include:• Contract Reviews• Special Wording Requirements• Certificate Holder Negotiations

• Review all policies for appropriate coverage for all commercial insurance lines sold.

• Endorsing policies for customer required policy changes.

• Review premium audits for accuracy, handle dispute resolution.• Our pay-as-you-go process typically results in a +/- 3%

differential from what was reported against actual.

2016

7

Customized Insurance ResourcesRisk Profile

Analyze your book from the eyes of an insurance company; we provide a thorough report of your book’s segmentation by wages, premium, states, class codes, AM Best hazard grade, SIC/NAICS and standard exception codes.

Loss Summary and ProjectionWe ensure the best pricing and placement options for your portfolio by providing a report that evaluates your historical performance and generates a projection of forecasted losses for the upcoming year.

Executive SummaryEasy-to-understand guide for determining the best course of action for your company to maximize the profitability of your insurance portfolio. Your producer provides recommendations from a detailed review of findings from insurance carriers they've marketed your account to.

Financial Statements ReviewBy determining your financial state of affairs, we’re able to instill confidence in your insurance carrier that you can fulfill your premium financing commitments. We consult with your group regardless of financial deal structure, guaranteed cost, large deductible, retrospective policies, and can provide your internal finance department with targets to book premium and loss fund commitments.

2016

8

Customized Insurance ResourcesUnderwriting

We provide clear guidelines on what information is needed for your submissions and also provide a decision tree tool that allows you to quantify your prospective clients’ eligibility prior to submitting their business for coverage, this gives you a heads-up on which of your clients are attractive or unattractive from an insurance perspective.

ComplianceWe help validate your safety program and drug free workplace policies for compliance purposes; we’ll not only ensure that your business is in compliance but also advocate for premium credit eligibility.We respond to department of insurance requests and inquiries regarding your issued policies to ensure compliance is granted from the state for each of your clients.

MarketingSubmit your business to all viable carrier candidates to provide you with more than one option for your insurance placement.We provide a net rate comparison on a class code and state level to compare your premium costs from one year to the next to give you a proactive indication for proper budgeting.

2016

9

Claims AnalyticsCheck monthly loss runs and key performance indicators from all of your carriers with access to the i3 Claims Analytics web dashboard.According to a recent Deloitte study, companies save 4-8% on loss and expense caused by workers’ compensation claims when leveraging advanced analytics. Advanced analytics “changes the game” by providing insights that help organizations improve claim outcomes.

Claim Activity NotificationsAutomated email alerts that include claim increase and decrease updates, loss reserve alerts and much more.

Predictive Rate AnalyticsWe allow you to quickly calculate an optimized workers’ compensation rate for your clients using the industry’s most credible data. Would you like to know that a class code in a state historically averaged a 150% loss ratio or an average claim cost of $50,000?

Proprietary Payroll PortalWe’ve engineered an easy-to-use web portal that allows our clients to submit their payroll information for invoicing, client endorsements, PAC Agreements and performance analytics.

2016

Data and AnalyticsProvided by Risk Transfer and i3 Analytics

10

Risk Management ResourcesProvided by Risk Transfer and RiskAware

Online ResourcesAccess to the most current risk management tools on the web that includes OSHA resources, workplace safety, human resources, drug-free policies, safety programs, transitional duty tools and much more.

Telephonic Claims ConsultingCost containment advice from a licensed adjuster.

Claims AdvocacyHave an advisor on standby as claims occur, we'll help you navigate the claims process.

Annual Stewardship ReportOur mid-term checkup gives you the information needed to proactively engage risk mitigation services, eliminate surprises and plan for cost expectations at your renewal.

Best Practices EvaluationFace to face consultation with RiskAware to identify potential workers' compensation cost containment opportunities.

2016

11

Experience Mod ManagementProvided by Risk Transfer and RiskAware

• We’ll help advocate for your best experience mod by providing risk consultation advice, reviewing your claims, pushing insurance companies to reduce or eliminate claims reserves and by closing claims completely.

• We also help confirm that your mod is accurate and can provide a comprehensive analysis of the segments of your portfolio that put your experience mod at risk.

2016

12

Onboarding Orientation• We give you a formal introduction to your team that

consists of underwriters, account managers, risk control experts and accountants, all with clear roles and obligations to serve you.

• We provide a customer handbook that has detailed guidelines on how to report claims, access services provided by Risk Transfer partner firms RiskAware and i3 Analytics, utilize managed provider networks, access legal defense firms, surveillance services loss prevention services and much more.

2016

13

Service Calendar• Your service calendar includes ongoing contact to track

and update your risk management program.

2016

14

Claim frequency continues to decline materially as a result of the corrective underwriting actions and changes we have made to our appetite. This was achieved through leveraging the capabilities and business intelligence of i3 Analytics and Risk Aware.

The distribution of claims frequency around industry classes continues to shift in a very positive direction and is evident as early as 2010, and the trends continue in the most current years.

The amount of desirable risks (Approved) continues to become the predominate classes we underwrite, and further reinforces that (1) underwriters removed classes of business that affected claims frequency, and (2) the accounts we write in Referral-1-2 have outperformed their peers.

Class Code Underwriting Discipline

2016

Category Average Cost per Claim

Approved $11,096

Referral 1 $10,638

Referral 2 $16,016

Excluded $19,122

Since 1/1/2014

Sample Eligibility – RTIA Profile Fit

16

Visit us at Risktransfer.comfor more information

2016