Multiple Agents with Overlapping Coverage

Industry: Wholesale Food Products

Exposure: $150 million

Coverage Benefit: Increased Coverage and Corporate Restructuring Advice

Savings: 35%

Insurance Problem

This wholesaler had multiple policies that were written by multiple agencies for a large, multistate risk. As a result, items were double covered and there was no identifiable contact for risk management. The corporation had gone through several years of 30-40% growth and needed to justify the growth with a comprehensive insurance program that could help the company mitigate risk.

Risk Management Solution

After analyzing the corporate structure of the company, we determined that the first step in managing risk had nothing to do with insurance. Rather, Swingle Collins’ in-house counsel referred the risk for corporate restructuring. By separating operations into distinct legal entities, their risk was alleviated, while they maintained the advantageous tax status that helped the company through its rapid growth period. Once the restructuring was complete, Swingle Collins was able to capitalize on the economies of scale and centralize all of the insurance to one carrier and one expiration date, avoiding the costs associated with double coverage. Swingle Collins was further able to negotiate additional credits on all lines after analyzing the companies’ loss experience. Finally, Swingle Collins was able to step in as an outsourced risk manager, dealing directly with all claimants, thereby avoiding the necessity of additional expense in dealing with a third party administrator or internal hire.


The company reduced overall insurance premium by 35% while increasing coverage. Perhaps most importantly, senior management was relieved to have the burden of commercial insurance taken off their plate.