The team have got off to a flyer in 2020 - in a difficult market, we are continuing to get business done and here is a flavour of our recent successes.
Meaty renewal sees Miller enhance the stock throughput (STP) programme for food manufacturer
Working with a US retail broker, Miller recently renewed the stock throughput (STP) programme of a manufacturer of premium meat products for major US retailers, restaurant chains, and food service companies.
In competition with the domestic US market, the renewal was not straightforward given the market’s highly restrictive appetite for this type of interest, with two of the incumbents refusing to quote renewal terms.
Following an extensive re-marketing campaign, the Cargo team were able to secure a new and enhanced solution for the client, incorporating the broad Institute Frozen/Chilled Meat Clauses as per the expiring wording, which the retailer could not obtain domestically.
This is significant as Miller’s ability to provide broader terms and conditions than the domestic market took priority over the reduced pricing the domestic markets could provide and the client decided to renew this account for another year with London. Within this policy wording, losses from temperature variation due to machinery breakdown exceeding 12 hours are covered. The standard market wording on this topic, only covers this type of loss if machinery has been broken down for longer than 24 hours. Therefore, we have halved the time limit in this renewal, to the benefit of the Insured.
Further to this, the Profit Commission clause was maintained, minimal changes were made to the extremely low deductible structure, and the Expenses Clauses sub-limits were doubled for no additional premium.
Excess stock placement for a firearm manufacturer
Miller received the Broker of Record (BOR) for a firearm manufacturer from a US retail broker on a placement already in the London market and the renewal was not without some challenges.
The market was limited due to the nature of the interest and perceived moral hazard, coupled with non-sprinklered locations in a heavy manufacturing location which had gunpowder on site!
31 declinatures later, we were able to provide 100% terms. Whilst rates did increase, good communication between Miller and the retail broker allowed us to equip them with market driven data as to the reasons behind the increase. All parties were happy with the outcome.
Proactive approach to incoming opportunity pays off
Working with a US wholesaler, the team has successfully bound stock throughput (STP) coverage for a company which develops natural spice and herb flavour extracts, natural ingredient products for the manufactured food, beverage, nutritional and pharmaceutical markets.
The business was previously placed via a London Broker competitor whose cargo facility was not being supported for renewal by underwriters. Miller got into the market early, making sure we obtained the most competitive terms possible whilst maintaining a close and collaborative relationship with the US producer. We also provided numerous options that the producing broker could present to their client, for which they were very grateful.