‘Innovative’ product launched in Guernsey
A product launched in Guernsey has been tipped by its owners to recreate the protected cell company’s success.
The Risk Purpose Trust (RPT) is a mechanism allowing corporates to fund effectively for foreseen and unforeseen expenses as well as business risks.
Uses of the RPT include budgeting assistance for gratuity payments, incentive payments for sports bonuses and provision for future repair costs or replacement costs (i.e. foreseen expenses).
Other uses include rental guarantees for landlords of large property portfolios, pension shortfalls, and the support and provision for unforeseen risks of corporates generally, from the traditionally insurable to the non-insurable.
Chris Le Conte, MD of the Robus Group, one of three entities behind the launch, said: “Having worked in the captive insurance industry for more than 20 years I believe the RPT could revolutionise the way corporates approach risk management, but the value of the RPT is so much wider reaching.”
The product has been launched by Princeps, a joint venture comprising Marlborough Trust, a Guernsey-based trust company, insurance manager Robus Group, and consultant Richard Gale.