Spotlight on global programs

Global insurance programs are an essential tool for many multinational companies, and their features and benefits have been documented extensively. These include broad, consistent coverages with no gaps or overlaps, more effective enterprise risk management and enhanced control over claims. Global programs can also promote greater capital efficiency; by aggregating individual country risk, companies can retain more risk at the enterprise level – that’s even more beneficial when a captive is used to cover the retentions.

While these benefits generally are well-known, clients and intermediaries across Asia also routinely raise questions about global programs. Moreover, there are other ways global programs add value that are sometimes overlooked.

In this article, Daniel Fay, head of international casualty-Asia at AXA XL addresses some of these common questions and highlights a few of the under-appreciated benefits of global programs.