We understand the challenges and costs associated with posting collateral. That's why we offer simple and comprehensive alternatives to letters of credit (LOCs) for your insurance and surety-related collateral requirements. It's also why our Corporate Trust Services' Collateral Trust team has been named the "Global Best Bank for Insurance Trusts" for three consecutive years in an annual survey of thousands of insurance and reinsurance executives worldwide.
The trust advantage
Our trust products provide immediate advantages for your business:
- The trust is usually significantly less expensive than an LOC
- The income from the trust is the property of the depositor
- The assets in the trust generally remain on the books of the depositor vs. liability
- The trust is a widely accepted form of collateral in the insurance, captive, reinsurance, corporate deductible, and ILS industries
- The draw-down characteristics are similar to those of an LOC
- Unlike the LOC, the trust does not need to be renewed each year, eliminating the time and effort needed for the LOC renewal process
- The trust can often replace multiple LOCs posted to the same carrier
Resources that support your business
Find the information you need to make effective business decisions. We offer authoritative articles, and other Collateral Trust resources. Our trust professionals are industry experts who can work with you to address your insurance and surety-related collateral needs.
+44 (0) 207 149 7553