Whether you’re looking for a long-term investment strategy or need cash flow now, Hawkeye has the reinsurance model you’re looking for. We have all participation structures available so regardless of your preference or needs we have one that will work for you. Each reinsurance model offers unique benefits, so It’s important for dealers to evaluate each structure and select the one that best matches their current goals. We can help you choose which model best suits you based on your risk tolerance, need for cash, or tax preferences. We can adjust your reinsurance position as your needs and goals change. As a Hawkeye owner you retain all of the back-end profit regardless of which structure you choose. We offer the following structures.
Controlled Foreign Corporation (CFC)
- Long-term business strategy for dealers seeking more control with their investments
- Potential tax benefits
- An AO program
- Funds are held outside of dealership
- Capability to reinsure major product lines
Non-Controlled Foreign Corporation (NCFC)
- Long-term business strategy for dealers seeking the highest potential return
- Multiple owners provide risk sharing and risk distribution
- Capability to reinsure major product lines
- An AO program
- More investment options
- Funds held outside of dealership .
Dealer Obligor (DO)
- Dealer controls the cash immediately
- Dealer decides how to use the cash
- Control over claims
- Dealer is responsible for any future claims liability
- Claims are administered for the dealership
- Immediate tax consequences
- Capability to reinsure major product lines
Producer Owned Reinsurance Company (PORC)
- A risk model that’s best for dealers who desire more control over their investments
- Control over claims
- Funds held outside of dealership
- A Dealer Obligor program
- Potential tax benefits
Retrospective (Retro)
- Potential for additional profit with little or no additional risk
- An Admin Obligor
- Program risk completely separate from dealer’s balance sheet
- Potential underwriting revenue
- Potential investment income
- Dealer receives a quarterly activity statement
- Profit distribution is paid annually