New ‘GREEN’ Captive Insurer Promises Savings for Eco-Friendly Businesses

May 22, 2007

Plans are in place for what its creators say will be the first captive insurance program designed exclusively for companies that are committed to sustainable business practices such as using renewable energy and producing environmentally friendly products.

Denver-based Domani Sustainability Consulting, an executive management consultancy, and Garnet Captive Insurance Services, which works with agents and brokers to set up alternative insurance programs, say the new insurance program, called GREEN, is expected to significantly reduce insurance premiums for its member companies.

“We believe that companies that have demonstrated a commitment to sustainability should have lower insurance risks,” said Andrew Cavenagh, president of Garnet Captive Insurance Services. “We expect that the positive impact these companies have on their corporate cultures can translate into lower insurance liabilities, including stronger employee safety records.”

GREEN will offer workers’ compensation, general liability, and automobile liability insurance policies to qualified companies with combined premiums in excess of $250,000. The program is expected to be operational in the second half of 2007.

Companies that apply for membership to GREEN will be evaluated by Garnet Captive Insurance Services and DOMANI, based on factors such as risk profile, commitment to sustainability, and business needs. For example, membership will be considered for companies that:

Purchase or generate energy from renewable sources;
Implement energy efficiency best practices;
Set targets for reducing environmental impacts;
Occupy LEED® certified buildings;
Develop clean technologies and environmentally-friendly products;
Provide services or products that support healthy lifestyles; and/or
Participate in environmental community outreach programs.

Membership in organizations that promote corporate citizenship, such as CERES (a national network of investors, environmental organizations and other public interest groups working on global climate change) and Business for Social Responsibility, and/or climate protection, such as the Chicago Climate Exchange or EPA Climate Leaders, will also be considered in evaluating potential members.

Domani’s role includes evaluating membership applications based on the above criteria. The firm will also develop models to quantify relationships between sustainable business practices and insurance risks.

“We are currently defining sustainability metrics and screening methodologies for membership to the program,” said Blake Mackey, Manager in Domani’s Strategic Sustainability Services group.
This is the first time that corporate sustainability and insurance risks have been linked to create innovative insurance solutions, according to the founders of GREEN.

“We anticipate that this program will be another verification of substantial bottom line benefits to be gained by companies committed to sustainable business practices,” said Mackey.
Once admitted to the GREEN program, Garnet Captive Insurance Services will work with member companies to manage the costs of retained risk through quality claims handling and risk reduction consulting.

Domani Sustainability Consulting, LLC ( has offices in Denver, Chicago, and New York, is a subsidiary of ENR 200 environmental consulting firm, Roux Associates, Inc. (

Garnet Captive Insurance Services, LLC (, structures captive and group captive programs, provides alternative risk consulting and brokerage services to retail insurance agents and their clients. It has offices in San Francisco and Minneapolis.

Domani Sustainability Consulting, LLC

Garnet Captive Insurance Services, LLC

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