Enabling remarkable companies to overcome their liquidity limitations.
Explore the possibilities with 1970 Group.
Insured Companies
1970 Group works with companies across all business sectors in resolving the longstanding challenge of capital trapped in insurance collateral. The opportunity for businesses can be enormous, as collateral requirements can often tie up a significant percentage of a company’s available financing lines.
For CFOs, this provides an opportunity to free up a potentially significant amount of capital to fund business growth.
For risk managers, this provides an opportunity to add value by sourcing a balance sheet management solution for their CFOs.
Private Equity Firms
Private Equity firms’ portfolio companies are often additionally leveraged as a result of the financing methodology used in the acquisition of these businesses. Sourcing liquidity to grow the newly purchased company to the levels envisioned by the partners can prove challenging, and also costly depending on portfolio companies’ leverage ratios.
1970 Group works extensively with financial sponsors across the United States and Canada, who have availed themselves of our solution to unlock balance sheets across their portfolio companies.
Insurance Brokers
1970 Group works with the industry’s leading brokerages and risk consulting firms. These partners view our solutions as an opportunity to add value to their client relationships by offering a balance sheet and liquidity management solution that compliments their risk management offerings.
Our solutions help brokers create liquidity for their clients by unlocking trapped capital. They also utilize our solutions to navigate the transition from guaranteed cost programs to loss-sensitive plans, and to enable risk program optimization by breaking the traditional collateral handcuff.
Download Our Broker Partnership Guide
Managing General Agents
We support Managing General Agent practices by solving for reinsurance treaty collateral requirements. Our replacement Letters of Credit (LCs) free up carrier-held collateral, enabling MGAs to invest in business growth.
Insurance Carriers
1970 Group works with preeminent insurance companies to ensure all carrier’s collateral requirements are fully met. In addition to the insured client’s financial position being strengthened through the implementation of Insurance Collateral Funding, the following benefits are realized by the carrier:
Receives replacement Letters of Credit (LC) in the exact form they require.
LCs are issued from NAIC-approved banks on the carrier’s approved list.
No change to the carrier’s process of LC drawdown.
