New Property-Casualty Insurer to Serve High-Net-Worth Market
February 5, 2007
PLANTATION, FL - March 6, 2007 - Ross Buchmueller, president and chief executive officer of PURE Risk Management, today announced the launch of Privilege Underwriters Reciprocal Exchange (PURE), the first property-casualty insurance company dedicated exclusively to the high net worth market.
PURE provides comprehensive property-casualty insurance for high net worth individuals and families throughout Florida including high value homes, cars, jewelry & art, and personal excess liability coverage.
"PURE was established to meet the insurance needs of high net worth individuals," Buchmueller said. "Most of our current and prospective members previously insured their high valued homes with Citizens, unregulated surplus lines carriers or insurance companies that do not typically focus on high value properties. In almost all cases, our members were paying thousands of dollars a year more for home insurance than they will with PURE. PURE is differentiated by its ability to provide select members with high-quality coverage and personalized service at significantly lower costs."
Attractive benefits also include:
- Windstorm deductibles that range from 2 percent to 25 percent of the homes' rebuilding costs
- Jewelry insurance premiums at almost half the cost of other insurance companies' premiums
- Competitive auto insurance for households that have more cars than drivers
PURE will be owned by its members (policyholders). Members will pay a one-time surplus contribution equal to 50% of their first-year premiums for their high-value homeowners insurance policies, and 20% of their first-year premiums for their private fleet auto, jewelry and art and personal excess liability policies. These one-time surplus contributions, along with a surplus note and a comprehensive reinsurance program, form the basis of PURE's financial strength. PURE was awarded a Financial Stability Rating of "A" (exceptional). At the end of every year, PURE will subtract losses and expenses from all collected premiums and return these savings to policyholders as either dividends or credits to the subscribers' savings accounts (SSA). As a reciprocal insurer, the SSA accounts belong to the individual members, yet will be available to PURE as surplus. PURE issues non-assessable policies, so the members' liabilities will be limited to the costs of their respective policies.
"PURE is unique because it will be owned by those it serves," said Buchmueller, who served as president of AIG Private Client Group from its inception in 1999 until 2006, when he founded PURE Risk Management. "We will allow a select group of Floridians to manage their personal risks with much greater efficiency." The company plans to provide memberships in 2007 for approximately 2,500 homeowners in Florida and to limit the number of memberships it provides in each county.
PURE Risk Management acts as attorney-in-fact for PURE and provides management services including underwriting, marketing, product management, financial oversight and claims handling.
Privilege Underwriters Reciprocal Exchange (PURE) is the first property-casualty insurance company dedicated exclusively to serving high-net-worth individuals. PURE is a Florida-domiciled reciprocal insurance exchange. PURE provides its members with comprehensive high value homeowners insurance policies, including windstorm and optional excess flood coverage, for Florida homes insured for greater than $1 million that are built to the standards of the latest building codes. It also provides private fleet auto insurance, including agreed value settlements for total losses, and insurance for jewelry and art. PURE also offers personal excess liability coverage with limits ranging from $5 million to $10 million. For more information, visit www.pureinsurance.com.
Editor's Notes: Interviews available upon request