For institutions and companies with overseas investments, political risk is a fact of life. Political risk insurance policies aim to mitigate cross border risks for various organisations, including equity investors, importers, exporters, financial institutions and contractors plant and equipment, to name just a few.

For importers and exporters, political risk polices offer protection from having contracts Besso Insurancefrustrated due to defined risks which could affect the purchase or supply of services and goods, whilst for equity investors, Besso explains, such policies protect them against the risk of losing a foreign enterprise due to action taken by the government. In regards to contractors’ plant and equipment, this type of policy protects against the risk of losing plant and equipment as the result of political violence, war or government action.

A policy of this kind provides protection against the risk that political conditions such as revolutions will result in a loss. According to Besso, political risk insurance offers coverage for several different forms of political risk, including coups, strife, terrorism, war and other politically motivated acts of violence. Polices of this nature may also cover losses which are caused by improper interference by a host-government, repudiation, abrogation as well as restrictions on the transfer or conversion of local currency earnings.

Much like with any insurance, Besso says, the exact scope of the coverage provided will be determined by the terms of each individual policy. As globalisation increases, with more and more businesses expanding overseas, this area of underwriting is still evolving to Bessomeet the needs of investors and business owners. Although there are some political risk insurance policies which are tailored for specific situations, most will have a standard series of circumstances which will be covered.

Besso adds that there is normally a waiting period, and this stated amount of time must be exceeded before a payment is made for losses due to things like currency inconvertibility and contract frustration. One of the main reasons for this waiting period is that the policy is not intended to pay for temporary currency or confiscation restrictions, which will cease within a reasonable time period.

Marine and aviation insurance advice from Besso

Besso are equipped to deliver a diverse range of marine and aviation insurances to clientsbesso with varying insurance requirements. Besso’s client base remains loyal in 90 per cent of cases. Client diversification was enabled in 1997 with the opening of the international division. Innovative insurance plans are delivered globally, to clients in a variety of business settings, facing many different challenges.

Individual brokers bring with them to their role, the expertise and knowledge to produce insurance solutions for clients working in marine or aviation settings. A personal and holistic approach is favoured which maximises the customer service, deliverable to each client. Maintaining excellent relationships is important for meeting client expectations.

A Diverse Client Base

 Marine Insurance

The client base is truly diverse and reaches across the globe. Products include: direct insurance, wholesale insurance, and reinsurance. Besso are also able to focus on providing marine insurance solutions which deal with rare or exotic risk types. Some work areas which are covered include: salvage, shipwreck removal, fishing, or ship building and repair. Other specialist areas include: museum and exhibition, strikes, terrorism and insuring goods travelling to high risk destinations.

Aviation Insurance

The aviation division is focused on implementing innovative solutions. Brokers provide insurance advice, and will guide each individual client through all the processes involved in becoming insured. Insurance brokers work through: Lloyd’s of London. This ensures full access to London insurers, as well as multiple overseas markets. Aviation insurance cover is available, but not restricted to some of the following cover types:

  • Hull and liability.
  • War risks.
  • Trading.
  • Employer liability.
  • Product liability.
  • Accident.
  • Instructor liability.
  • Airfield operator and owner.
  • Loss of licence.

Dedicated Individuals

As a company, the goal is always to recruit individuals who have the dedication and commitment to keep the standards high. Standards continue to be maintained, through Bessorecruiting experts who have not only expertise, but the personality to deliver results. Insurance solutions are delivered across the world from the international London base. Multilingual brokers and specialists employ a holistic approach. This enables clients to benefit from gaining considerable advantages across the globe.

What does Charterers’ liability insurance cover? An explanation from Besso

Charterers’ liability insurance offers coverage for both the third party and the contractual liability of the charterers of vessels. Most policies, according to Besso, will usually cover the handling of the claim, as well as the costs related to legal assistance and defence.

Insurance experts from Besso say that this type of policy can offer the charterer protection Besso Ltdif a claim is made against them regarding environmental pollution, stevedoring damage, damage caused by cargo, damage to the property owned by third parties, bodily injury and damage to the vessel itself. There are a number of extensions which can be added on to a basic charterers’ liability policy, to make it more comprehensive. Although these ‘extras’ will vary from one policy to another, they generally include coverage for transhipments, detention, substitute vessels, charterers’ bunkers, trapping and blocking, as well as a wider definition of damage to the vessel.

Besso says that damage to the vessel is a common claim made on this type of insurance policy, as it can occur in any number of ways. For instance, a charterer might supply a ship which has contaminated or defective bunkers, which results in excessive wear and tear, or a breakdown of the main engine. In extreme cases, Besso says that this could be disastrous, as the ship could potentially run aground, in which cases, the charterer may be held liable not only for the loss of the vessel, but also for any cargo claims, loss of life, oil pollution and wreck removal involved.

Another potential cause of vessel damage is overloading by incorrectly declared weights of cargo, which causes dented tank tops and distorted hatch covers. Again, the consequences of this can be very serious, resulting in stability issues and losses for which the charterer could be held liable. In such instances, Charterers’ liability insurance Bessocan prove to be invaluable. As with any form of insurance, Besso experts say that this type does have exclusions, the most common of which are salvage and general average charges. Besso experts also point out that coverage for demurrage will be subject to the daily indemnity required, and even then only following a marine peril for which coverage is already offered in the policy.

A guide to motor fleet insurance from Besso

Motor fleet insurance is used by businesses which own multiple vehicles. It allows the business owner to insure all of their vehicles under one policy, rather than having to insure each one individually. This reduces the time the owner would spend on management and administration tasks related to multiple vehicle policies. According to Besso, typical businesses which use motor fleet insurance include those who need more than one vehicle to operate their business such as builders, taxi drivers and couriers.

Besso

Generally, companies which offer this type of insurance will base the price of the policy on each vehicle however there are several other significant factors which affect a premium, including the number of drivers, the level of coverage required, claims history and post code. The owner of the business will almost always be the policy holder for fleet insurance, and as such Besso says that it is their responsibility to ensure that all of their drivers are compliant with the terms and conditions of the policy.

It should also be noted that in order to take out this type of insurance, all of the drivers covered by it will have to advise the insurance company of any claims or accidents they have had in the past five years, or endorsements on their driving licences, even if these

occurred on their private policies. Experts from Besso say that it is standard for the insurance company to request copies of the driver’s licence before adding them to the motor fleet policy.

The majority of fleet insurance policies will allow the policy holder to adjust the number of vehicles if circumstances change, and Besso say that some may also allow them to add an additional vehicle on a temporary basis;

Besso

however the policy holder will normally be charged for these kinds of amendments. Most motor fleet policies can be tailored according to the kinds of vehicles covered and the size and usage of the fleet. A policy will typically cover expenses related to third party claims, theft, fire and damage, and some, Besso says, will provide a courtesy car if one of the named vehicles on the policy is off the road as a result of an accident.

A guide to employment practices liability insurance by Besso

Employee of the Month Reserved Parking Sign

Employee of the Month Reserved Parking Sign (Photo credits: myparkingsign.com) – Besso Ltd

Employment Practices Liability Insurance is a relatively new type of coverage. It offers employers protection against claims which might be made by potential, current or former employees. According to Besso, insurance policies like this will typically cover employment-related allegations including harassment, wrongful termination of employment, or discrimination based on race, gender, disability or age.

Besso experts say that this form of insurance should ideally be purchased as soon as the employer begins to hire staff. Most company directors and investors will request that the employer include this as part of their Directors and Officers liability insurance, as they too can be held liable in lawsuits which relate to employment practices.

With employees becoming more and more aware of their rights, Besso says that it’s essential for companies to ensure that they not out take out employment practices liability insurance, but also keep their procedures up to date with the current legislation, so as to avoid employment-related disputes as well as the expense of having to defend a claim.

Some of the developments which have made this form of insurance more essential as of late include an increase in the number of laws which prohibit specific forms of discrimination, including several new categories, and an update to existing legislation regarding unlawful discrimination, which provides claimants with more causes of action; these laws, Besso says,  now bring with them a whole host of newly defined causes of action, such as the addition of harassment and victimisation to the current concept of direct discrimination.

Employment practices liability insurance can offer companies protection against the

Employment Exhibition

Employment Exhibition (Photo credit: Modern_Language_Center) – Besso

financial impact of such claims. Depending on the policy and which provider one uses, Besso says that it may include coverage for defence costs, the claimant’s costs, settlements, damages and judgements, as well as the costs of legal representation during an employment investigation. The policy may also include the costs related to the employee’s wages in the case of unfair dismissal, from the date of said dismissal, and the exemplary and punitive damages which are insurable by law.

Besso – A guide to professional indemnity insurance

Professional indemnity insurance provides cover in situations where you are accused by a unsatisfied client of making a mistake whilst you were carrying out a professional service. Here, Besso offers a concise guide to how this type of insurance works.

Professional indemnity insurance can offer protection from claims by unhappy customers or clients – claims which would otherwise cripple you financially.  These claims may relate to any number of areas, including negligence, where you are accused of having breached a duty of care to the aforementioned client, intellectual property issues, where you have been accused of infringing on trademarks or copyright, loss of data or documents, where you have mislaid the client’s important paperwork, or dishonesty, where you have been accused of theft of the client’s money.

According to Besso, professional indemnity policies will vary considerably in terms of their coverage options. There are a number of questions which you should ask the provider with whom you are considering taking out a policy. These include asking whether the policy will cover disciplinary or administrative proceedings brought forward by a regulatory body or government, as well as what type of events will trigger the coverage – for instance, would a simple allegation, in the form of a statement from the client be sufficient, or would the accusation need to be made in writing first? You should also enquire as to whether compensation will be provided if you need to take time away from your business or practice for litigation.

Besso experts say that the insurance company will based the policy premium on a number of different factors, such as the your claim history, the location of the business, annual revenues, the number of professionals who are to be covered, the number of years the business or practice has been open for, the claim’s severity, the likelihood of the claim reaching the courts, and the type of profession you are in.  There are a number of professions in which professional indemnity insurance is required by the relevant regulatory body; these include financial advisers, mortgage intermediaries, surveyors, architects, accountants and solicitors.

Besso and the: Lloyd’s Vision

Besso and the: Lloyd’s Vision

Besso and Change

Michael Wade invested £2 Million in the insurance company Besso last year. He recently proposed that Lloyd’s introduce ILS (Insurance-Linked Security syndicates). The introduction of the new syndicates would help to enable Lloyd’s to reach their expected growth target, by the year 2025.

Wade also outlined that there are also opportunities in markets such as: insurance derivatives and loss warranties. Embracing these ideas would open up possibilities into a growing and tradable market place. Lloyd’s remains sceptical, as to how this fits in with their original vision.

The plan was to attract new: staff, capital and business, from the emerging world economies. Wade suggests that there is a prospective market worth Billions, in securities, which are available to be traded. This would offer considerable growth, in the area of property casualty.

A Stakeholder Environment

After joining Besso in March 2011, Wade has been involved in making decisions and changes. He now owns a 15% stake in the company. The emphasis has been on creating a stakeholder environment, within the organisation. The company needed to implement a corporate attitude, where the investors and the management could share attainable goals. These strategies have been vital, in bringing about change for the better.

Problems in the past occurred with an American investor. The management team found him difficult to deal with, on a number of different issues. There was also disagreement between the American investor and another major investor BP Marsh. The resulting confusion and stress was bad for morale and company focus.

Changes for the Better

Changes started happening for the better, when Michael Wade and Brian Marsh bought out the American shareholder. The company was able to regain focus in the areas which had been affected by the disruption. Wade is now the executive chairman of the company.

Wade intends to bring about further changes over the next 5 years, in keeping with the 2009 Lloyd’s Act. His vision for the future is; for insurance underwriting management and distribution, to become one function. This would require the introduction of new regulations. Wade is adamant that together with new regulations, a certain amount of “transparency” will also be required, for his ideas to work in practice.

The Lessons of the Past

In the 1980’s, underwriters and distributors often worked together in the same building. There were no regulations like those proposed by Michael Wade, and conflicts of interest were very common. It will be interesting to see how these ideas fit in, in the insurance industry of tomorrow.

Besso – The Besso UK Department

Corporate Risks

After Besso UK successfully acquisitioned H. Bernstein Insurance Brokers and integrated it into it department of Corporate Risks, Besso are now concentrating on offering their comprehensive insurance coverage directly to commercial organisations, PLC’s, commercial companies and industrial businesses.

Besso have a wealth of experience across a wide spectrum of insurance classes; this allows them to meet all of their client’s needs in a comprehensive manner, by supplying insurance solutions for virtually every industry.

The team at Besso are based in London, where they can easily serve their UK client base. They take pride in overcoming the challenges of meeting each individual’s insurance requirements, and can create a tailor-made solution for every client which addresses the potential risks appropriately and effectively.

The following list includes most, but not all, of Besso UK’s services;

  • Corporate and commercial insurance
  • Consultancy and Audit
  • Before and After Renewal Analysis
  • Commercial based insurance schemes
  • Multinational Programmes
  • Due Diligence
  • Exposure and Loss Control assessments, as well as risk management

Personal Lines

  • Besso has established an exceptionally loyal base of clients. In the highly competitive industry of direct insurance suppliers, Besso have retained their principles, believing that the client’s needs must always come first and that personal service is essential. This makes them one of the most highly valued brokerage services.

The comprehensive services which Besso provides include:

Personal Motor insurance for drivers of all ages

Travel Insurance for Single and Annual Trips

Households of both Standard and High Net Worth

For more information relating to these services, please visit

www.besso.co.uk/bessouk

Besso – The Aviation Division

Besso are proud to supply cover for the specialized area of Aviation insurance. The Aviation Division is headed by Howard Pearce and Guy Gavan, and supported by an accomplished team.

Besso can offer insurance and reinsurance coverage in these business classes:

  • Hull and liability Insurance
  • Hull War Risks
  • Personal Accident Insurance
  • Instructors Liability Insurance
  • Loss of License
  • Loss of Training
  • Aviation Traders Insurance
  • Aviation Employers Liability
  • Aviation Products Liability Insurance
  • Airfield Owners and Operators Insurance

Besso cutting-edge approach to business has evolved from the personal nature of their client associations. Allied for this, the Aviation Division can make bespoke solutions, a strategy that applies to the client’s needs. The division offers guidance through the insurance process and, similar to a Lloyd’s Insurance Broker, has immediate access to Lloyd’s insurers, syndicates writing aviation business, London-based company insurers in addition to foreign markets.

Besso Limited is an AOPA endorsed Insurance Broker.

Besso Employee Quentin Brooksbank’s Expedition To Hindu Kush

Besso employee Quentin Brooksbank, more normally associated with the marine environment, has undertaken a great mountaineering expedition to one of the most hostile countries in the World – Afghanistan.

The four friends, from Anglesey, were the first ever team to mount an expedition to
climb the mountain “Mir Samir‟ in the depths of Afghanistan‟s winter months. The circ
20,000 ft mountain, located in the remote upper section of the Panjshir Valley, was
made famous by Eric Newby and Hugh Carless in the popular adventure book, “A Short
Walk in the Hindu Kush‟.