AIG

Although an insurance intermediary, RMP are not a broker.  As already stated, they are an insurance agent operating exclusively for AIG in respect of the UK public sector.

• This exclusive insurance agency role encompasses sales, marketing and ongoing servicing and business retention activities undertaken solely on behalf of AIG.  This is a constituent element of the overall management expenses for most insurance companies who normally undertake such activities for themselves.
• For a number of reasons e.g cost effectiveness and as a result of other efficiencies that AIG have identified will give them a competitive edge, AIG have chosen to outsource this insurance agency role to RMP rather than undertake it internally themselves.
• RMP’s and AIG’s contractual responsibilities to each other are a product of this exclusive role undertaken by RMP on AIG’s behalf, these responsibilities being significantly different to those that would emanate from a standard broker/insurer relationship.  Item (A) on the last page of this document lists the core responsibilities and services that RMP undertake for AIG.

Some notable benefits derived by clients from AIG’s insurance offering are as follows:

• The provision of stable and long term insurance programmes. 
• Reasonable premium discounts in return for the acceptance of significant deductibles/ SIR’s. 
• Improved financial stability through reduced contributions to insurer frictional expenses and the removal of “pound swapping”. 
• Where opted for, balance sheet protection via an “aggregate stop” at a tolerable attachment point. 

RMP’s sole source of remuneration is the commission they receive from AIG in return for the provision of the exclusive activities undertaken on AIG’s behalf.  RMP share their remuneration with AJG UK in return for various services outsourced to them by RMP. 

RMP fully support and endorse the importance of the broker role within the UK public sector, a role that enables clients to both continue to benefit truly impartial advice and access in depth analysis of all the service and product offerings available from the global insurance market as a whole. Following on from their recognition of the importance of the broker role, RMP and AIG willingly cooperate with the broker once appointed and remain committed to and confident of being able to continue to deliver the highest level of customised service to their public sector clients.  Item (B) on the last page of this document summarises the core services RMP deliver to their clients. 

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