Beecher Carlson All Lines Presentation

Passion.
Innovation.
Accountability.
Welcome to Beecher Carlson!

MARA | Multivariate Algorithm for Risk Analysis (MARA) evaluates approximately 4,000
metrics to determine and assess your company’s risk drivers
passion. innovation. accountability.
Introduction to Beecher Carlson>

COPYRIGHT BEECHER CARLSON INSURANCE SERVICES, LLC; ALL RIGHTS RESERVED; THIS DOCUMENT CONTAINS CONFIDENTIAL AND PROPRIETARY
INFORMATION AND MUST NOT BE DISSEMINATED WITHOUT PRIOR WRITTEN CONSENT FROM BEECHER CARLSON, LLC
Beecher Carlson Overview
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Ranked as the 6th
largest insurance
brokerage in the United
States and the 7th
largest brokerage
worldwide by Business
Insurance magazine.
Revenues in excess of
$1.58B and places more
than $13.5B of premium
into the insurance
marketplace.
More than 7,000
employees with offices
in 131 cities across the
U.S., London and
Bermuda
International
Correspondents
located in over 100
countries and have
offices in over 500
cities around the
globe. Including
offices in London,
Bermuda and
Cayman Islands.
Our evaluation of
exposures in the pre-
underwriting stage and
quality of submissions
results in a Quote-to-
Bind ratio of around
40% much higher than
the industry average of
15% to 18%.
Beecher Carlson is the large account subsidiary of Brown and Brown that delivers expertise by
industry focus and product specialization. At Beecher Carlson, we believe risk management without
passion, innovation and accountability is just buying insurance.

Competitive Differentiators
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3
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We have total flexibility to use the best insurance providers, vendors, resources, foreign brokers, wholesalers,
claims attorneys and forensic accountants that create a “best in breed” solution.
Nearly 40% of our Casualty staff is dedicated to claims, risk control and analytics. Our competitors average is
7-9% in claims and analytics staff.
Our evaluation of exposures in the pre-underwriting stage and quality of submissions results in a Quote-to-
Bind ratio of around 40%, much higher than the industry average of 15% to 18%.
Global profit center model allows our clients complete access to our national, top-tier resources without
complicated political structures or local profit center mentalities. Service teams are determined based on
knowledge and clients needs rather than geographic convenience.
Strong individual carrier relationships at the highest levels.
Complete market access to all worldwide insurance markets.

Beecher Carlson Awards
Business Insurance’s Readers Choice Award 2009 was based on the best combination of: Innovation, Service, Quality and Value
Ranked #1 in Innovation in Captive Management by U.S. Captive for 2013
AutoZone's 2013 Partner Excellence Award
Award recognizes high performing partners that are leading in their industryPARTNER EXCELLENCE AWARD
2013 , 2014 & 2015 Top Insurance and Professional Services Organizations for Diversity and Inclusiveness recognized by Exelon
Captive Manager of the Year 2012
Recognized excellence in the delivery and management of captive insurance
Ranked #1 in Favorability by Greenwich Associates in 2011 based on the key attributes of:
Ethicality, Flexibility, Likelihood to Recommend, Client Satisfaction, Prompt Follow-up, Addressing Policy Issues with Adequate Time Before
Renewal, Compensation and Pricing, Innovativeness of Brokerage
(Survey discontinued in 2012)
Business Insurance’s Readers Choice Award 2010 was based on the best combination of: Innovation, Service, Quality and Value
(Award discontinued in 2011)
Ranked #1 in Favorability by Greenwich Associates in 2010 based on the Key attributes of: Customer Service, Ease of Working Relations,
Flexibility, Securing Best Prices and Understanding Business Needs
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Captive Manager of the Year 2015
Recognized excellence in the delivery and management of captive insurance

Beecher Carlson Innovations
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MARA

Specializations>

Focus
• Expertise in power generation with a special
focus on independent power market
• Innovative solutions for prototypical
equipment, replacement power, political
risk, trade disruption, forced outage, lack of
resource, control of well, warranty and
performance guarantee
Highlights
• Placed Builder’s Risk insurance policy for the
largest wind farm in the U.S.
• Developed the first project specific
Extended Warranty Wrap and Performance
Guarantee program for the largest solar
project in the world
• Placed coverage for the largest fleet of
Frame 7 Gas Turbines (GE 7FA & Siemens
Westinghouse 501F)
• Energy specific Loss Control / Claims /
Captive Solutions
• Recognized expert in construction and
operational coverage for independent
power plants worldwide
• Out-sourced risk management platform
providing cost of capital/reserving analysis,
manuscript contract language, lender
consultation, RMS/CAT modeling and
project development and M&A consultation
Energy Casualty
Focus
• Large accounts with annual expected up
to, and greater than, $100M; Alternative
risk financing arrangements including, but
not limited, to large deductible, deductible
buy back policies, qualified self-insurance,
corridor retention programs, incurred/paid
retros, captive utilization
Highlights
• Utilize in brokerage process and provide to
clients the analytical tools required to
make educated risk financing purchasing
decisions. Each risk management client
has a designated actuarial and analytics
team
• Utilize proprietary ZOOM® process that
combines the science of predictive
analytics and data mining with hands-on
claims consulting and loss control
engineering expertise
• Dedicate nearly 40% of staff to managing
clients’ retained losses (90% of their total
cost) through claims, risk control and
analytics, versus competitors 7-9%
• Team setting strategy and executing that
strategy in the market continues to service
the client throughout the life of the
program 24/7/365
Beecher Carlson Specializations
Real Estate
Focus
• Office complexes/towers, large
apartment owners and shopping
centers
• Specialize in soft occupancy
companies with large CAT
exposures (wind, flood and
earthquake)
Highlights
• Pre-underwrite risk by running our
proprietary CAT models
• Expert in utilizing Tenant Liability
insurance to benefit
owner/managers as well as
tenants

Focus
• Managed Care
(provider, employer
and HMO stop loss)
• Academic Medical
Centers
• Healthcare Systems
(Acute, Long Term
Care, Psychiatric,
Ancillary Care)
• Physician Groups
Highlights
• Largest division of
Beecher Carlson
• Proprietary PULSE™
technology allows
information access for
healthcare
professionals
Healthcare Hospitality Manufacturing
Focus
• Large hotel owners and
managers (>20)
• Gaming and tribal
properties
• Issues such as
legionella exposures,
bed bugs, food borne
illness and guest
properties
• CAT exposed
properties
Highlights
• Leading broker in the
hospitality industry
• Design programs with
proprietary software,
RiskConcierge, to
reduce total cost of risk
• Proud partner of the
American Hotel &
Lodging Association,
having prepared their
annual loss cost study
for the past 18 years
Focus
• Strong focus on
automotive companies,
warehousing facilities,
distribution and food
related companies
Highlights
• Utilize ZOOM® to drive
down workers’
compensation costs
• Create crisis
communications plan
with recover options to
reduce business
interruption from
product recalls
Focus
• Hedge funds,
investment advisors,
community banks,
transfer agents and
insurance companies
Highlights
• Proven algorithms
analyze thousands of
data points to
determine the
likelihood and severity
of incurring litigation
• Design programs to
protect boards and
investors in a regulatory
investigation
• Review cyber risk to
ensure a long-term,
stable program
Financial Services

Focus
• Specialize in single
parent and association
captives as well as risk
pools and Risk
Retention Groups
(RRG)
• Develop alternative risk
finance solutions that
solve insurance needs
and generate profits in
a tax efficient manner
Highlights
• Manage >100 captives
across 10 major
domiciles ranking us
3rd largest captive
manager in the world
• Only captive manager
to invest in specific
audit policies and
procedures
• Team includes on-staff
actuaries, CPAs, MSAs,
JDs and software
specialists
Focus
• Public or large private
companies with an
employees base of 2,500
or higher
• Fortune 1000, now
expanding to 2000
Highlights
• Provide objective, data-
driven knowledge in
order to mitigate severity
and frequency
• Utilize MARA, our
proprietary set of
modeling applications,
to evaluate risk drivers
along 4,000 data points
• Five lawyers on staff to
support claims
advocacy
Executive Liability
Focus
• Specialize in soft
occupancy companies
with large CAT
exposures (wind, flood
and earthquake)
Highlights
• Evaluate programs for
gaps in structure, terms
and conditions
• Superior analytics
bolstered by fast,
accurate modeling (45
minutes versus
competitors 2 week
turnaround)
• Proprietary LiNK
technology creates
customized match of
premium to actual
exposure
Property
Captive
Management
Focus
• Large semiconductor
and capital equipment
manufacturers
• Hardware and software
technology companies
• Networking, Social
Media, Internet Services,
Bitcoin
• Cloud, SAAS, and Internet
Security Companies.
• Medical Device,
Biotechnology,
Pharmaceutical
Highlights
• Ability to handles large
multinational programs in
multiple countries
• Handles selective
technology start-ups
• Ability to handle global
clinical trials
Technology/Life
Sciences

Why Direct?
How We Access the Marketplace
Domestic
Marketplace
Excess & Surplus
Lloyds of London /
European Markets
Bermuda Markets
Beecher Carlson
Domestic Wholesale
Broker
London Broker Bermuda Broker
• Facilitates the insured’s ability to interface with their underwriters.
• Direct negotiations with underwriters maintains control over what message is being delivered to the markets.
• Reduced frictional costs. Wholesale brokers should only be utilized for those markets retail brokers cannot
approach on a direct basis.
We have access points at the highest levels of all major carriers.
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Casualty Capabilities>

Beecher Carlson Casualty Practice
• The largest segment within Beecher Carlson
• Approximately 85 staff members in the four major hubs:
– Atlanta, New York, Woodland Hills, Nashville
• Nearly 40% of our Casualty staff is dedicated to claims, risk control
and analytics because nearly 90% of your cost is based on your
retained losses
– Our competitors: average 7-9% in claims and analytics staff compared to the
Casualty staff
• Manage more than 85 national accounts
• Our staff includes senior industry pros supported by depth at all levels
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You Are The Largest Insurer on Your Risk
P R E M I U M
S E R V I C E
U N I N S U R E D
L O S S E S
“You should think like an insurer….we will inform you and provide you with the tools to do just that.”

L O S S E S
Casualty Analytics
ACTIONABLE ANALYTICS
The analysis we perform allows us and
YOU to identify the key areas to attack
to reduce the cost of the largest
percentage of losses you retain.
CLAIMS MANAGEMENT
Our analytics enable us to identify the most
potentially costly claims, the best/worst
adjusting performances and the most
efficient means to close claims
economically to obtain the lowest possible
cost.
OPERATIONAL ENHANCEMENTS
We look at the where, how and why drivers
of your claims and establish a joint task
force to make changes to how your people
and operations do their jobs in a way that
prevents accidents from happening at all.
“We empower our clients to make educated buying decisions about their risk
financing and how to attack and reduce their claim costs.”
CLAIM MANAGEMENT & RISK CONTROL
• ZOOM®/Enhanced Claim Management
• Operational Assessment
• Data Integrity
• Claims Administrator Management
• Claim Audit/Best Practice
• Safety Program Evaluation
LOSS ANALYSIS
• Loss Projections
• Retention Analysis
• Monte Carlo Simulations
• Collateral Analysis
• Loss Emergence Schedule
• Scorecards – Measure KPIs
EDUCATED DECISION MAKING TOOLS
• Net Present Value Analysis
• Cost of Capital Analysis
• Retrospective Adjustment Simulations

Client Results
Rolling 12 Month New Client Results...Account Wins From Other Major Brokers or Direct Writers:
AVERAGE RATE
REDUCTION
15%Market average was 4% rate
increase over same period
COLLATERAL IMPACT
12.5%Average reduction on go-
forward collateral amount
31%Average reduction on existing
collateral amount

ZOOM®>

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TCOR
100%
Beecher Carlson FocusTraditional Broker Focus
INSURANCE CHARGE
7.1%
Total Cost of Risk

Better Results: Provided by Beecher Carlson
BEECHER’S
ZOOM®
PROCESS
GETS
BETTER
RESULTS
• 14% Average Reduction on Projected Ultimate Incurred
• 29% Average Reduction on Reserve Liabilities
• 31% Average Reduction on existing collateral
• We have mitigated our client claim cost by $215,041,280 in the
last two years
• Insurers will accelerate a reduction in collateral for ZOOM®
clients
• Insurers will lower deductible / excess workers compensation
premiums on ZOOM® clients
• With ZOOM® analytics, we present a stronger marketing
submission
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What is the ZOOM® Process?
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PROCESS SOLUTIONS
JOINT STEERING COMMITTEE
AND STEWARDSHIP / ACCOUNTABILITY
STRATEGIC CLAIM
FILE MANAGEMENT
HISTORICAL CLAIMS
CURRENT CLAIMS
PROSPECTIVE CLAIMS CLAIMS / PREDICTIVE
MODELS
CAUSE & EFFECT /
ROOT CAUSE
SCORECARDS &
GOAL TRACKING
SOLUTIONSOLUTIONSOLUTION
ZOOM® SYSTEMATICALLY PINPOINTING “CRITICAL FEW” OPPORTUNITIES FOR IMPROVEMENT
LOSS DATA ANALYTIC TOOLS SOLUTIONS

ZOOM® Analytics - Baseline Assessment
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• Data Run by 32
Key WC
Performance
Indicators (KPI’s)
• Establish Baseline
Outcomes
• Provide Suggested
Goals and
Objectives by
Policy Year
Program Period PY14
(1/1/14 - 1/1/15)
valued as of
Program Period PY13
(1/1/13 - 1/1/14)
valued as of
Program Period PY12
(1/1/12 - 1/1/13)
valued as of
KPI's
7/31/14
(7 Months)
7/31/13
(7 Months)
7/31/12
(7 Months)
PY14 vs PY13 PY14 vs PY12
Ultimate Incurred $9,600,000 $7,633,000 $9,070,000 26% 6%
1. Total claim frequency 257 276 270 -7% -5%
2. Total incurred $2,579,193 $1,638,613 $1,110,304 57% 132%
3. Total paid $775,172 $641,729 $475,017 21% 63%
4. Average incurred $10,036 $5,937 $4,112 69% 144%
5. Average paid $3,016 $2,325 $1,759 30% 71%
6. Closed claims 199 207 220 -4% -10%
7. All claims closing percentage 77% 75% 81%
8. Indemnity claims 56 45 28 24% 100%
9. Indemnity claims percentage 22% 16% 10%
10. Average incurred indemnity $40,119 $25,705 $24,125 56% 66%
11. Average paid indemnity $10,437 $7,590 $7,834 38% 33%
12. Indemnity closed claims 17 7 5 143% 240%
13. Indemnity closing percentage 30% 16% 18%
14. Open indemnity claims 39 38 23 3% 70%
15 Top 10 claims incurred $1,637,252 $570,206 $453,734 187% 261%
16. Top 10 as % of total incurred 63% 35% 41% 82% 55%
17. Medical Only claims 201 231 242 -13% -17%
18. Total paid Medical Only $190,698 $300,195 $255,674 -36% -25%
19. Average incurred Medical Only $1,654 $2,086 $1,797 -21% -8%
20. Average paid Medical Only $949 $1,300 $1,057 -27% -10%
21. Med Only closed claims 182 200 215 -9% -15%
22. Med Only closing rate 91% 87% 89%
23. Payroll per $100 $3,400,000 $3,400,000 $3,482,763 0% -2%
24. Incurred per $100/payroll $0.76 $0.48 $0.32 57% 138%
25. Employee Count (Avg) 0 0 0 - -
26. Incurred per EE Count - - - - -
27. Frequency rate per 100 FTE's - - - - -
28. Unit Count (Avg) 0 0 0 - -
29. Incurred per Unit Count - - - - -
30. Claims with lost work days - -
31. Lost Work Days - -
32. Average Lost Work Days - -
Initial Scorecard Baseline AssessmentKnowing precisely where and how
to focus to lower your cost of risk
2014: Goal – 6.5% improvement to the average cost per claim (ACPC) when
compared to 2013 at 18 months (no adjustment for inflation or salary increases)
– $700k reduction - undeveloped
– 28% indemnity percentage
2013: Goal – 6.5% reduction to the existing 9% increase in the average cost per claim
trend in 2012– no adjustment for inflation or salary increases
– $900k reduction - undeveloped
2012 and older: 621 claims – target reduction: $2.4M reduction (excluded excess
claims)
Aggregate Incurred Reduction Target: $4M (approx.)
Current
Claims
Prospective
Claims
Historical
Claims

ZOOM® Analytics - Cause and Effect
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• Conduct “deep dive” analysis to pinpoint causation or root cause of
any adverse outcomes
– Litigation Cost / Duration
– Medical Cost / Duration
– Indemnity CAT Scan
– Adjuster Performance
• Measure KPIs of the critical processes that drive or contain 80% of the
outcomes and establish goals for improvement

ZOOM® Timeline
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Property Capabilities>

We challenge every aspect of your program to build market
momentum through an integrated team approach.
Broking Style
• Pre-Underwrite Each Risk
– Analyze the Total Insurable Values (TIV)
– Determine the MFL and PML estimates for “critical” exposures
– Review the historical loss records
– Examine available engineering/loss control reports
– BI values and geo-radius tool
• Advantages Gained from Pre-Underwriting
– Determine the appropriate amount of “critical” limits to purchase
– Proper layer breakpoints
– Layering structure (i.e. quota share or “stacked” layers)
– Potential roadblocks are identified to help better position your company
– Identify and reach target markets
– Identify target pricing
25

Our Technology and Risk Modeling Solutions
• Claims
• Loss control
• RMS – Catastrophe modeling
• Mapping capabilities
• Radius Tool
• Google Earth Pro – “Not your desktop Google Earth”
• Premium allocation
• LiNK - Proprietary rating tool
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Executive Liability Capabilities>

Executive Liability Overview
The Executive Liability Practice (“ELP”) is a Beecher Carlson specialty practice made up of
experienced and knowledgeable advisors/brokers solely dedicated to providing our clients with the
advice needed to properly protect corporations and their directors and officers against unforeseen
liability that arises from everyday corporate activities.
Products
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• Directors &
Officers Liability
• Fiduciary Liability
• Employment
Practices Liability
• Professional
Liability
• Cyber Liability
• Crime Insurance
• Kidnap/Ransom
& Extortion
Insurance
New York
Atlanta Bermuda
San Francisco
• Industry Expertise
(Healthcare, FI, Oil & Gas,
Private Equity, Life
Sciences, Retail, Distressed
Co’s, Hospitality, etc.)
• Focused Resources – have
18 dedicated resources in
D&O & Executive Liability
Insurance products
• Legal Leverage – 5 person
Dedicated Claims Staff (all
attorneys)
Boston
Key DriversFootprint

Executive Liability Client Results
PERFORMING FOR OUR CLIENTS
SETTLED LARGEST ADA
CLAIM
$20M
PLACED LARGEST CYBER
PROGRAM LIMITS
$500M 3RD
PLACED TRANSACTION POLICY
FOR THE 3RD LARGEST MERGER
& ACQUISITION DEAL

Forward-Looking Analytics
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Directors & Officers Liability Analytics Output
MARA
Estimates the likelihood that the firm will have
an SCA claim filed against it in the next 12
months and places it into a risk quartile based
on this estimate
Assumes that the firm will have an SCA claim
filed against it in the next 12 months and
places it into a risk quartile based on the
likelihood that this claim will be dismissed
Assumes that the firm will have an SCA claim
filed & settled against it in the next 12 months
and estimates potential settlements amount at
various confidence levels
Underwriting
Benchmarking Knowledge
Because we analyze approximately 4,000 data points — several times more than any other brokerage —you will know more about your risks
than ever before and can compare and contrast your results with those of your peers. Using inputs from broad data sources, we provide an
objective risk assessment score relative to comparable organizations and an estimation of the likelihood and severity of future securities class
action, which forms the basis for adjusting both insurance limits and retentions.
Our analytical insight is highly persuasive, objectively demonstrating to carriers the facts supporting your unique risk profile. Knowledge of
specific positive or negative risk factors means no surprises for senior management at underwriter meetings. And, it provides powerful
intelligence to facilitate underwriter negotiations to ensure you the best terms, conditions and pricing.

– We represent your interests before the carriers
– Our clients come to see us as an extension of their risk
management function
– We have more high-profile, complex experience than any
other broker
– We evaluate claims history to spot loss trends and offer
guidance on reducing your exposure to future claims
– We use our experience handling your claims to look at
opportunities to enhance coverage going forward.
– We furnish our clients with timely, relevant content that
impacts their Executive Liability programs.
Claims Advocacy
When the worst happens in the boardroom, you need the expertise and experience
of the industry’s most robust and well respected Claims Advocacy team. Beecher
Carlson’s claims advocacy group has an emphasis on advocacy, not just claims
management. Our claims advocates work with you, advising you on how to best
mitigate trouble, rather than only stepping in after litigation is filed.
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Claims Management Process
Blocking and Tackling Managing Expenses
Negotiating with Insurers Risk Prevention, Mitigation and Education
• Initial reporting of claims
• Analyzing reservation of rights
• Analyzing correspondence that evidence their view of
coverage
• Consulting with you as to the most appropriate form of
response
• Drafting response letters for your review and approval
• Gaining insurer approval of defense counsel & other
supporting experts you may choose to engage in the
defense of claims
• Monitoring the claim activity until it matures into a resolution
phase
• Closely track and monitor insurer payments for you
• Ensure that payments in accordance with the terms of the
policy are made timely and accurately
• Handle all defense expense issues with the insurers eliminating
unnecessary distraction and allowing you and your counsel
to exclusively focus on defending counsel rates
• Compliance with litigation guidelines/budgets
• Recognition of exhaustion of policy retentions and
appropriateness of deductions by insurers
• Challenge insurer positions ensuring that you are optimizing
your ability to obtain recoveries under the policy
• We are on your side. In the event of material coverage issues
or recalcitrant insurers, our objective is to bring the key
decision-makers, both on the claims and underwriting side if
necessary, to the table with the intent of supporting you in
the resolution of claims. That support is usually, but not
always, in the form of financial contributions; however, it is
always our goal to have someone from the insurer with
financial signing abilities available in the event of settlement
discussions including mediation or arbitration proceedings.
• We are prolific in the number of white papers we produce on
recent case decisions of impact for our clients including
changes in legal and regulatory requirements and claims
trends. We can research issues for you and produce a position
paper on a subject of concern or interest to you. One of our
fundamental tenets is that an ounce of prevention is worth a
pound of cure and so our mission is to reduce your
dependence on the commercial insurance market in any
area where you can produce greater results for your
company, employees and shareholders by preventing a
shock loss in the first place. Insurance, in our view, is no
panacea for the reputational and other damage that ensues
in the event of a major corporate governance and financial
scandal.
32

Claims Advocacy and Consulting
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Risk Prevention,
Mitigation &
Education
Blocking and
Tackling
Managing
Expenses
Negotiating
Claims
Advocacy
Claims
reporting
oversight and
assistance
Coverage
response and
advocacy
Advocacy on
specific claim
issues and
strategies
Claims renewal
oversight and
assistance
Review billing
terms and
conditions
BEYOND JUST CLAIMS REPORTING

Cyber Liability Capabilities>

CyberSelect™
Data breaches have become more and more prevalent. Given the press surrounding the size of such
instances (the number of files breached and people affected), companies have begun to realize the
resulting costs can be staggering. Companies should not have to worry about whether their policy fully or
partially responds, it should be comprehensive, complete and not riddled with sub-limits.
Beecher Carlson has a proprietary Cyber Liability and Data Breach Response policy – CyberSelect™. The
policy is designed to offer the most comprehensive coverage available in the market and offers many
enhancements not typically available, such as:
• Eliminates the need to gain consent from the Insurer to hire legal experts, forensic accountants and
public relations consultants allowing a rapid response to a data breach
• Provides full policy limits for costs arising out of any regulatory investigation by any regulatory authority or
the Payment Card Industry Security Standards Council including card company fines, penalties and
assessments, as well as credit card reissuance costs
• Includes Business Interruption and Extra Expense at full policy limits and extends coverage for
“contingent” business interruption and extra expense to the insured as a result of acts of third party
vendors
• Includes Media Liability coverage for all publications, including false advertising through electronic or
written means
• The ability to add professional liability to the coverage
• Primary limits available up to $50 million
35

Understanding Cyber and Tech Exposure
$0.00
$5.00
$10.00
$15.00
$20.00
$25.00
$30.00
$35.00
$40.00
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
4,500,000
5,000,000
5,500,000
6,000,000
6,500,000
7,000,000
7,500,000
8,000,000
8,500,000
9,000,000
9,500,000
10,000,000
10,500,000
CostPerRecord
Number of Notices
Risk Assessment: identifying and prioritizing
technology, cyber and E&O risk
Privacy Risk Modeling: customized data breach
impact-analysis of severity and frequency for breach
of confidential information
Gap Analysis: identifying the gaps and overlaps in
relevant programs and making recommendations
Business Impact Analysis: with Procor, providing pre-
risk revenue impact assessment and post-breach
response and audit services
ePHI Notification Cost Per Record
36

Beecher Cyber Analytics Report
Beecher Carlson’s Cyber Analytics modeling takes into account the industry, the type of
information lost/breached and can also take into account the breadth of coverage under
the cyber insurance policies purchased to estimate probable maximum loss scenarios.
Information provided by the model includes:
• Probable maximum loss: provides an estimated maximum cost of a PII breach based
on the number and types of records held by the company
• Breach Estimates: provides estimates of the size and resulting expense of a breach
based upon a “1 in 200 company” breach event (note: this can be reset at other
levels at the Insured’s discretion)
• Information for contract negotiations: provides a tool to help Insureds negotiate
liquidated damages, indemnity and insurance provisions with vendor contracts
• Risk Register: a top cyber and tech risks as developed by Beecher with Northwestern
in a workshop or question format
The analytics report can be expanded to include:
• Vendor Management Tools: example language and guidance on requesting Cyber
and E&O insurance from third parties technology and related service providers
37

Beecher Carlson Online Breach Cost Tool
38
Cost Per RecordCost of a Breach

Consequences of a Data Breach
• Directors, officers and employees are subject to termination
• Costs to comply with notification to consumers/employees, credit monitoring costs, cost
of restoring Data / Public Relations
– Privacy response cost: $5 -$25+ per individual (Our estimates are lower than the
research estimates)
• Civil penalties and fines
• Class Action suits
• Individual civil actions
• Legal and defense costs:
– Civil, regulatory and possibly criminal defense
– Data Privacy counsel can cost $700 per hour. A major data breach will cost millions
in legal costs
• Business Interruption Costs
• Corruption or destruction of data
• Theft of funds or property
• Extortion
• Reputation loss
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Mergers and Acquisitions Capabilities>

National Private Equity/Mergers and Acquisitions Services
1
2
3
4
5
6
7
Purchase agreement evaluation
Loss history analysis
Actuarial valuation of self-insured obligations
Historic insurer solvency analysis captive subsidiary audit
Analysis of coverage terms and conditions
Competitiveness of pricing and go-forward estimates
Portability of program
Pre-Closing Diligence
Pre-closing diligence services:
• Financially oriented diligence product
• Focus on the expense and efficacy of
the insurance program currently in
place.
In terms of Property & Casualty and
Employee Benefits, this offering includes,
but is not limited to, the following:
• Specialize in: pre-closing insurance,
employee benefits solutions, aggregated
insurance platforms and transactional risk
solutions
• Large and middle market private equity
firms, infrastructure funds, alternative
asset managers and corporate clients
• Averaging more than 13 years of
experience
• Worked on over 5,000 transactions
41

Procurement Strategies
Partially Shared
• Single, centralized trading platform based
in New York
– Trade directly with New York underwriters for
increased marketplace leverage
• Myriad of approaches,
– Fully integrated and shared, partially shared
or standalone programs
• Post-close placement results in:
– Enhanced terms and conditions
– Maximized cost savings for Portfolio
Company and Private Equity Sponsor
• Transactional Risk Solutions for issues
related to:
– Indemnification length, breadth, scope
– Assumed and/or operational environmental
liability
– Specific contingent liability solutions
42

Captive Capabilities>

Captive Management Stats
ACTIVE IN 10
DOMICILES 3rd LARGEST
CAPTIVE
MANAGER IN
THE WORLD
2013 INNOVATION IN CAPTIVE
MANAGEMENT AWARD
OVER 100
CAPTIVES
2015 & 2012
CAPTIVE
MANAGER OF
THE YEAR
44

Captive Services
Three Phase Approach
1
Feasibility Study – Examine your current program and historical loss experience to
outline specific components to operate an alternative program and assess potential
cost savings and operational advantages.
2
Plan Design and Options – Design the most optimum alternative program for your
business including actuarial loss projections, business plans, financial projections,
application and licensing, fronting and reinsurance design and placement as well as
claim handling design and placement.
3
Program Management – Combine our insurance knowledge, innovative problem-
solving capabilities and exceptional experience in sophisticated program
management to integrate your program on schedule and within your budget.
45

Environmental Capabilities>

Environmental Services
• Specialization in environmental risks
• Deep understanding of environmental risks
• Provide in-depth environmental risk reviews
– Risk exposure
– Risk prioritization
– Risk quantification
– Risk mapping
– Coverage review
47

International Capabilities>

Our International Practice
• Experienced International Practice with extensive Insured and Brokerage
backgrounds provides global coordination
• Currently servicing large multi-national clients and managing placements in
more than 100 countries
• International consulting (assessment):
– Insurance regulations and practices worldwide
– Local exposures and policy placement requirements
– Local broker representation where required and/or warranted depending on local
regulations, number of local policies, complexity of local coverage and claims
involvement
• Member of Worldwide Broker Network (WBN)

International Assessment
What is driving the need to address
the issue?
What is the exposure to client if a policy is not
procured?
Are there local regulatory/compulsory
requirements driving the need for purchase?
What insurance solutions are available?
Reasons Why Insureds Buy Local Policies:
• Premium and Tax Requirements
– Does premium have to be collected locally?
– Transparency in how and where premium is collected.
– Are taxes applicable?
– Will the local government assess any penalties and/or fines if a local
policy is not purchased?
– Is centralized or decentralized risk management philosophy followed?
– Presence of local leadership? Is a local Executive requesting a local
policy?
– Does the government or local contract require an insurance policy be
placed locally?
• Is non-admitted insurance accepted?
– Can the global policy service and make a payment locally if there is
a claim?
– I.E. If the master global policy cannot make a claim payment
locally and the parent company reimburses the local subsidiary,
does the parent company risk tax and penalty liability where it is
domiciled?

Worldwide Broker Network (WBN)
World’s largest fully integrated network of independent Property and Casualty
and Employee Benefits Brokers in the world:
• In more than 100 countries throughout the world
• Serviced by 15,000 professionals
• Placing $28 billion in premiums in the global insurance market
WBN is a collaborative network, independently owned:
• Over 20 years of WBN Member-to-Member loyalty and responsiveness
• Mandatory service standards within the network
• 360 Degree Peer Review of WBN Members
• Client objectives clearly communicated and executed at all worldwide locations
• Market and arrange all classes of insurance coverage
• Provide risk management consulting services
• Highest level of service to all clients of any size, industry or location
• Technology enabled global management and delivery system customized for our clients

Value of an Independent Network
You have direct Access to the Owners and Senior
Management of our WBN Partners
Expense structure allows your company and the WBN to
match our income to the level of service delivered
locally
Incoming business both large and small treated the
same: with HIGH priority
Powerful web-based collaboration system with no
additional technology license fees
Detailed International Service Instructions are
developed and deployed to meet client needs
Your company’s relationships at Senior levels improves
the quality and consistency of local service
Owned networks often carry minimum fees per country
that inflates broker’s compensation
Owned networks place higher priority on indigenous
income producing business
Data and information services are often offered subject
to additional user fees
Standard service levels established corporately with little
local flexibility allowed
Client Benefits vs Owned
Network Approach
Flexible Network structure allows you to work within or
outside of the WBN network to match your needs
Owned networks often require clients to work exclusively
within their network structure
Why companies value an
independent Network?
WBN firms have low management and employee
turnover due to corporate and network structure
Consistent level of client service on both a local and
global basis

Global and Local Policy Management
(Parent Company)
Foreign Subs Foreign Subs Foreign Subs
Insurance Carrier
Local Insurance Carrier Local Insurance Carrier Local Insurance Carrier
Beecher Carlson places
Master DIC/DIL Policy
Beecher Carlson Coordinates
locally admitted coverage with
International Partner Network
(WBN).

Beecher Carlson All Lines Presentation

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