partner login

BMS News

BMS Intermediaries Listed in ‘Best Places to Work in Insurance 2014’ for Third Year Running

BMS Intermediaries has been selected as one of the 2014 ‘Best Places to Work in Insurance’, by industry publication Business Insurance Magazine and Best Companies Group. This is now the third consecutive year that BMS has received the designation.

Andrew Bustillo, CEO of BMS Intermediaries, said: “I am delighted BMS Intermediaries has been recognized with this accolade for a third year running; it’s a true testament to our staff who, unwavering in the high quality of work they produce for clients, have shown that we’re dedicated to achieving the highest level of success in our operations both internally and externally, making BMS a true market leader. This award further demonstrates to clients, employees and the wider market that BMS is not your average reinsurance broker.”

Kim Schablin, VP, Human Resources of BMS Intermediaries, said: “At BMS, we have a commitment to creating the right environment for talented, entrepreneurial professionals to develop their careers and excel at producing business that demonstrates their full capability. This sense of empowerment is the reason that our teams, the driving force behind BMS’ continual growth and position as a market leader, are consistently producing top results for their clients.”

BMS, the broking arm of Minova Insurance Group, has more than 30 years of growth and a balanced portfolio of business. Alongside exceptional brokers, BMS has augmented its client offering by appointing industry-respected actuaries, catastrophe modelers, claims and contracts experts, as well as the recent launch of BMS Capital Advisory.

Launch of BMS Capital Advisory, Inc.

Minova Insurance Holdings is pleased to announce the launch of BMS Capital Advisory. BMS Capital Advisory, a broker-dealer registered with the SEC, is a member of both the Financial Industry Regulatory Authority (FINRA) and Securities Investor Protection Corporation (SIPC).

BMS Capital Advisory is an affiliate of BMS Intermediaries, a leading independent reinsurance broker and part of the Minova Insurance Group. To complement the services provided by BMS Intermediaries, BMS Capital Advisory will advise on and facilitate insurance-linked securities offerings and Mergers & Acquisitions. Together, BMS Capital Advisory and BMS Intermediaries offer their clients access to the resources needed to achieve their strategic goals, whether through reinsurance transactions, access to the capital markets, or M&A-related advisory services.

Rom Braga, BMS Capital Advisory’s CEO said: “BMS Capital Advisory will increase the Group’s operational flexibility, as we seek to deliver the most effectively-priced capital and integrated advice to our clients and prospects.” Mr. Braga added: “We believe our focused approach to servicing a differentiated client base will allow us to work with capital markets participants to create, facilitate and execute select corporate finance engagements and effective solutions to a new class of ILS sponsors.”

Andrew Bustillo, CEO of BMS Intermediaries, said: “From broking and advisory services to analytics, claims handling, capital advisory and beyond, we strive to become an extension of our client’s business, advocating their best interests to help them succeed.” Commenting on adding this capability to BMS Group, Mr. Bustillo added: “Having achieved this milestone, we are now able to provide risk management and advisory services across a broad spectrum of the capital markets. We believe in providing integrated solutions to our clients within a dynamic reinsurance market place. Alongside our broker force, we are now ready to deliver.”

PIAA Reserve and Profitability Update

In our fourth annual review of the Physician Insurers Association of America (“PIAA”) companies, BMS continues to look at:

1.   how the profitability of member companies has changed over the past decade;

2.   the profitability of their current business;

3.   the level of redundancies in loss and loss adjustment expense reserves that has been released in recent years; and

4.   how much redundancy remained as of December 31, 2013.

Click here to read the full article

BMS Associates announces $50.7 million investment agreement with Capital Z

BMS Associates (“BMS” or “the Group”) is pleased to announce an agreement with Capital Z Partners Management, LLC (“Capital Z”).

The management of BMS has recently undertaken a review to determine the Group’s strategic approach to both broking and underwriting opportunities across the market. Part of this review has been to investigate potential third party investment to further the Group’s ambitions for future growth.

Under the agreement announced today, which is subject to shareholder approval, Capital Z will invest $50.7m into the Group’s holding company through the acquisition of preference shares and warrants over a minority interest in the Group’s ordinary share capital. The investment will provide the Group with significant capital to support the expansion of the BMS broking business and the underwriting activity of Pioneer.

Upon completion of the transaction, Robert Spass, Managing Partner and co-founder of Capital Z, will join the Group’s board.

Christopher Hopton, Group Chairman, said:

“This investment is a highly significant event for the Group. I am particularly pleased to welcome Bob Spass to our board. His experience in our industry is extraordinary and his participation, together with the involvement of Capital Z, places the Group in an exceptionally strong position to accelerate our growth and command further market share.”

Robert Spass said:

“I have been impressed with the strength and depth of the management team at BMS, their vision for the future and their opportunities to generate significant growth. Capital Z is pleased to have reached this agreement which makes us strategically and economically part of the Group’s future success and I look forward to working with the team.”

Dane Douetil, Group Chief Executive Officer of BMS Associates, said:

“Over the last three years we have invested in 18 new teams across the Group and our continued successful growth is underpinned by Capital Z’s investment, which I consider to be pivotal in our development. We have been absolutely determined to maintain the owner/manager ethos of the Group while finding a partner who can bring in depth knowledge of the industry which will be helpful in our growth. In Capital Z we have found that partner.”

The Group was advised by Canaccord Genuity as financial adviser.

BMS launches Severe Weather Analytics

BMS Group announces a new weather risk management module as part of its iVision™ suite of analytical tools and services.
The unique new analytical tools allow carriers to better understand their risk and manage portfolio accumulations in areas prone to tornadoes, hail, straight-line winds and hurricanes.
The new module introduces expanded weather analytics features that make it even easier for insurers to manage severe storm risk. These features include:

  • Live weather feeds from NOAA
  • Daily severe storm shape files featuring AER Respond weather data, highlighting tornado paths, active hail areas, hail size and density
  • Active and forecasted hurricane tracks including detailed hurricane wind-field shapes
  • Historical PCS event library with one-of-a-kind PCS cat event shape files, available exclusively from BMS

“iVision’s new analytical tools augment traditional cat modeling results by enabling users to modify and alter damage ratio and track assumptions for tangible, definable events, which allows them to arrive at a view of loss they can have confidence in,” says Julie Serakos, head of BMS’ Cat Analytics group.
These new weather analytics features facilitate the understanding of the loss potential in a portfolio (thereby stress-testing its vulnerability to loss) by allowing for custom damage ratios to be applied against storm attributes. Additionally, testing portfolio sensitivity to the hurricane track increases confidence in the range of potential loss outcomes for landfalling events.

About iVision
BMS’ iVision is an easy-to-use catastrophe risk management system carriers can access online. Built on the latest GIS technologies, it helps today’s insurance companies increase efficiency and effectiveness in managing their catastrophic risk. iVision’s other analytical features include BMS’ proprietary ScenarioView™ for DIY event analysis, and RiskReveal™ location cat modeling (featuring AIR and RMS cat models) for underwriting. These features let carriers manage large loss exposures and ensure adequate premium before a policy is bound.

Introspect: 2014 Severe Convective Storm Season

The earth’s weather and climate is naturally variable on all time scales, and a number of factors can cause a sustained change to weather and climate. Referred to as “climate forcers,” these factors invoke the idea that they force or push the weather and climate towards a new state. These climate forcers have created a winter to remember over much of the U.S., but there is at least some (symbolic) hope for warmer weather in that the spring equinox has passed, which signals the end of astronomical winter in the northern hemisphere. But the official start of spring may have insurance companies wondering how the Severe Convective Storm (SCS) season might pan out. The latest BMS Introspect looks at the climate forcers that drive severe weather, and considers whether or to what extent they will influence the upcoming SCS season.

Andrew Bustillo named as President & CEO of BMS Intermediaries, Inc.

BMS Associates Limited, the independent specialist insurance group, has appointed Andrew Bustillo as the new President & Chief Executive Officer of its US-broking arm, BMS Intermediaries, Inc.

Industry veteran Mr. Bustillo will join BMS on March 3rd, 2014, reporting directly to Dane Douetil, Chief Executive Officer of BMS Associates Limited. He will join the Group Executive Committee as well as the Board of BMS Inc. Mr. Bustillo will be headquartered in New York.

Mr. Bustillo is a proven executive in the reinsurance industry with nearly 30 years of experience. He currently runs RedBank Re, LLC., which he founded in 2009, providing advisory and reinsurance services to a range of clients. Prior to forming RedBank Re, Mr. Bustillo was Executive Vice-President and a member of the Executive Committee for Benfield Inc.’s U.S. operations, where he was responsible for managing Benfield’s U.S. business. Previously, Mr. Bustillo held senior leadership roles at Guy Carpenter and EW Blanch Company where he focused on the development of team-oriented sales processes that delivered client-centric solutions to the industry. His career began in 1985 in the underwriting community, holding positions with M&G Re and Constitution Reinsurance Corporation, before moving to the intermediary business in 1990 with Aon Re.

Dane Douetil commented:

“I am delighted to welcome Andrew to BMS in his new role to lead our fast-growing U.S. business. Andrew’s appointment is a strong statement of intent about our commitment to the U.S. market. We see significant growth potential in the United States where clients value and desire the high-touch service proposition provided by our very experienced broker teams and supported by our competitive actuarial, analytical and modelling capabilities. Andrew’s experience as a strong sales leader and team-builder, coupled with his proven track record as an energetic and driven executive, will be invaluable in taking BMS Intermediaries Inc. to the next stage in its development.”

Mr. Bustillo commented

“It is a privilege to join BMS, a well-respected, global, privately-held and independent firm with roots in the London market, a significant presence in the U.S., a growing international capability and a unique business model. I am very excited to take responsibility for driving the BMS business forward in the U.S. BMS Intermediaries Inc. has all the right ingredients for success that made it a really compelling proposition to accept the challenges of being its CEO. The company has hired great people, it has established its brand and built a great culture. With a clear strategy for growth and with its innovative business model, I am hugely excited by the opportunity for us to further build a great business.”

Mr. Bustillo holds an MBA in Finance & International Business from NYU Stern School of Business and graduated from Middlebury College with a BA in Economics & Spanish. He is married with 3 children. He is Chairman of the Board Covenant House International, the largest privately funded provider of services to homeless and trafficked youth in the Americas.

 

BMS enters into exclusive partnership with RTI International, one of the world’s leading research institutes

BMS Group recently entered into an exclusive partnership with RTI International, one of the world’s leading research institutes, to offer clients award-winning Enterprise Risk Management (ERM) services that have a proven track record in managing complex business operations.

The concept of ERM is nothing new. For decades, organizations have been using a variety of methods and processes to intelligently weigh and manage risks against opportunities. ERM provides a framework for this risk management – which typically involves identifying particular events or circumstances relevant to an organization’s objectives, assessing them in terms of likelihood and magnitude of impact, determining a response strategy and monitoring progress. By identifying and proactively addressing risks and opportunities, businesses protect their interests and create value for stakeholders.

But, as highlighted by Solvency II in Europe and ORSA in the U.S., in recent years ERM has evolved in response to the needs of an increasingly sophisticated global marketplace, with more varied and complex businesses and stakeholders who want to understand the broader spectrum of risks so they can be managed effectively. No longer limited to owners, customers and employees, these stakeholders have come to include regulators and rating agencies, which have also increased their scrutiny of risk management processes.

What does all this mean? ERM, which used to be considered a global business trend, has become a recognized best practice. And that’s where the BMS/RTI relationship comes into play.

Close collaboration between BMS brokers and our analytical and technical professionals lets us give clients a superior level of analysis, modeling and strategic guidance,” says David Spiegler, Executive Vice President and Chief Actuary at BMS. “That talent, combined with sophisticated analytical tools, methods, and award-winning risk management processes as provided by RTI, means that we are able to take a truly holistic look at a client’s risk, which is what businesses need today.”

The strength of a business and its reputation is based in large part on management’s ability to properly identify, assess and manage risks. A properly implemented ERM program will help deliver a better-performing organization by allowing us to identify and address risks before they become problems,” says Ward Sax, Vice President, Treasurer and Chief Risk Officer at RTI. “Our applied research in ERM has resulted in award-winning best practices we can share with clients.”

“ERM absolutely includes the capital modeling and analytics, but that’s just one part of the equation,” says Kurt Johnson, EVP of Analytical Services at BMS. He explains that beyond making sure a building and computers are safe, true ERM is about smart business planning and breaking down silos within an organization. “There’s a huge element of common sense to ERM, and we can help demystify it for clients,” Johnson adds. “You can’t eliminate chaos, but you can plan for it.”

 

Click here to visit the BMS Analytical Services ERM page

 

 

About RTI:

RTI International is one of the world’s leading research institutes, dedicated to improving the human condition by turning knowledge into practice. Our staff of more than 3,700 provides research and technical services to governments and businesses in more than 75 countries in the areas of health and pharmaceuticals, education and training, surveys and statistics, advanced technology, international development, economic and social policy, energy and the environment, and laboratory testing and chemical analysis. For more information, visit rti.org.

 

 

Philippines Review, Reactions Magazine – Andy Siffert

Andy Siffert, BMS’ resident Meteorologist, featured in Reactions Magazine online discussing the challenges the Philippines faces in it fragile recovery from the devastation caused by Super Typhoon Haiyan.

Click here to read the article (registration required).

 

Inside Medical Liability Magazine – Dave Spiegler

BMS’ Chief Actuary Dave Spielger featured in PIAA’s Inside Medical Liability, 4th Quarter edition, discussing the MPL Sector.

Click here to read the article.

Reprinted from the fourth Quarter 2013 issue of Inside Medical Liability, Physician Insurers Association of America. Copyright, 2013.

Click here to access the article online

Click here to read all about the BMS Analytical Services offering.