Rose & Kiernan, Inc. Completes First Private Transfer of Self-Insured’s Workers’ Compensation Loss

Tuesday, November 15, 2011

Rose & Kiernan, Inc. Completes First Private Transfer of Self-Insured’s Workers’ Compensation Losses Via Assumption of Liability Policy

 
Albany, NY (11/14/11) – Rose & Kiernan, Inc., the capital region’s largest insurance brokerage and one of the top-50 privately held independent insurance brokerages in the US, announced today that it has successfully completed the state’s first private placement of a New York Assumption of Liability Policy (“ALP”), for an individually qualified, New York self-insured; the predecessor firm of one of the region’s largest paper producers. 

 

The ALP, which was first approved in New York in December of 2010, allows qualified individual and group self-insureds to transfer outstanding workers’ compensation liabilities to approved insurance companies or the New York State Insurance Fund.

Commenting on the transaction, Lloyd Jones, CPA, CFE, - Vice President of Finance for Pruyn & Company, Inc., said, “Rose & Kiernan has been working with us on this project for over a year.  Their knowledge of the issues, counsel, and stewardship during the process has allowed Pruyn & Company to transfer liabilities which spanned a thirteen year period.  The placement of the ALP has allowed us to completely convey our obligations for claims and future assessments while ensuring our former employees continue to receive the full, uninterrupted statutory benefits to which they’re entitled.” 

 

He added, “Rose & Kiernan’ expertise allowed Pruyn & Company, Inc. to bring to a close a very significant matter for our shareholders.” 

 

In June 2007, Atlas Holdings, LLC and Blue Wolf Capital Management, LLC formed Finch Paper Holdings LLC to acquire the assets of the former Finch, Pruyn & Co., Inc.  Operating today as Finch Paper LLC, the successor firm was not a party to the transaction.

 

Commenting on the matter, Rose & Kiernan’s President & CEO John Murray said, “We’re delighted to have been entrusted by Pruyn & Company’s Board with this important work.  Many qualified self-insured’s and individual businesses and non-profits that have participated in workers’ compensation group self-insurance (Trusts) in New York are facing an uncertain future because of mounting, and often underfunded obligations and assessments.”  

 

He added, “This solution, approved by New York regulators, provided a mechanism for Pruyn & Company to put to rest a meaningful financial obligation for the company, while providing injured workers their required benefits.  This was a terrific outcome and we truly appreciate the confidence Pruyn & Company placed in us.”

 

Consulting and brokerage on the transaction were provided by two of Rose & Kiernan’s senior executives, Senior Vice Presidents, David A. Fazioli, CPCU, CIC and Sean L. Hickey, CPCU, RPLU, ARM. 

 

Legal Services for the transaction were provided by Phillips Lytle LLP, Albany, New York, and Bartlett, Pontiff, Stewart and Rhodes, P.C., Glens Falls, New York.

 

For more information on liability transfers and the Assumption of Liability Policy, please contact:

 

Mr. David A. Fazioli, CPCU, CIC	Mr. Sean L. Hickey, CPCU, RPLU, ARM
Senior Vice President	Senior Vice President
Rose & Kiernan, Inc.	Rose & Kiernan, Inc.
(518) 244-4313	(518) 244-4253
(JavaScript must be enabled to view this email address)	(JavaScript must be enabled to view this email address)

 

About Rose & Kiernan, Inc.

 

Established in 1869, Rose & Kiernan, Inc. is an employee-owned (ESOP) insurance and employee benefits brokerage and consulting firm headquartered in East Greenbush, NY.  With eleven (11) offices in New York and Connecticut, the firm serves publically traded and private businesses, governmental entities, non-profits and individuals throughout the United States and, through its network of strategic international partners, in more than forty countries around the globe.