The RLJ Companies (RLJ) has entered into an equity arrangement with AV International LLC (AVI), a minority business insurance firm providing services for state government, municipal and corporate clients.
The initial focus is on expanding AVI’s reach and capabilities in the stop-loss market. AVI, through its AMERIFIRST division, underwrites and places stop-loss coverage with the support of large national insurance carriers.
Stop loss insurance (also called excess loss insurance and sometimes reinsurance) provides protection against catastrophic or unpredictable costs. Under a stop loss policy, the insurance company reimburses the employer for legitimate health claims that exceed certain limits.
“When it comes to premium spend, insurance companies have faced a challenge in complying with diversity requirements set forth by states, towns, municipalities and corporations because there were no minority owned or controlled insurance companies with proper qualifications and ratings,” said Andre Duggin, CEO of AVI. “We have now changed that model. Not only do we have the ability to underwrite on behalf of our carriers, we also have the ability to participate in a share of the risk. This will allow our clients to significantly amplify their diversity spend.”
AVI provides a wide array of stop-loss options and product flexibility, says Russell Naylor, founder of Elite Underwriting Services, a large privately owned managing general underwriter and a partner at AVI.
Source: RLJ Cos.
Was this article valuable?
Here are more articles you may enjoy.