Insurance wrap financial guarantee procedures
For more information, contact an Altika representative.
Expenses:
• 4% insurance premium
• Underwriting expense: $60,000 (cost depending upon the project)
Procedures:
1. Client contacts Altika with project information
2. Altika approves or rejects the project
3. Client provides paperwork for due diligence
4. If accepted for insurance wrap / financial guarantee, Altika provides the escrow bank account coordinates of the insurance underwriter
5. Client wires the underwriting cost and half (½ )of the premium
6. Underwriter provides draft insurance Binder of the insurance
7. Client wire the second half of the premium.
8. Underwriter releases the policy to the client.
Insurance Wrap / Financial Guarantees for Hard Assets
We can put in trade your in-ground hard assets such as oil wells and gold mines. The owner of the hard asset will retain us to facilitate the insurance wrap (financial guarantee from insurance providers such as Prudential, AIG, Lloyds, etc.), then a monetization of the wrap, and the trading of the cash from the monetizing.
The client will pay the cost to underwrite the insurance policy, the cost to facilitate the process, and the actual cost of the insurance premium.
Procedures:
1. Client introduction and review of file to determine if possible to engage.
2. Client signs a contract for consulting services with Altika Corporation and pays the retainer required for the underwriting costs and the facilitation cost.
3. Altika prepares package to the insurance agent.
4. If accepted by the insurance carrier, client signs a contract with the insurance agent.
5. Within three to four weeks of preparing of the insurance policy and the binder, the insurance wrap (financial guarantee) is delivered to the client. A site visit by the carrier may be required.
6. Insurance policy is sent to the client and lodged with the client’s bank.
7. Client has 30 days to pay the insurance premium to the carrier, but is required to pay the commission, bank fees and legal fees to the insurance agent and Altika.
8. Altika will present the insurance wrap (with a client application) to the funder for monetizing the wrap. In some cases, the wrap may be accepted directly by the trading platform for a credit line.
9. Funds from the monetizing will be placed in a client bank account to be positioned for trade.
10. Client files an application for trade with the trade platform.
11. Client is accepted for trade and signs a trade contract.
12. Funds from the monetizing are blocked for a trade in a European bank.
13. Trading commences.
14. Client receives trade proceeds and paymaster disburses these proceeds according to the profit share agreements.
For more details, contact us.
