Dan Risk Retention Group, Inc. South Carolina(SC)

Dan Risk Retention Group, Inc. South Carolina is a health insurance company that specializes in providing liability coverage to divers and dive professionals.

It is part of Divers Alert Network, a non-profit organization that offers health and safety services to the diving community.

Dan Risk Retention Group, Inc. South Carolina was established in 2016 and operates in Charleston, South Carolina.

In this article, we will explain what a risk retention group is, what it does, what are the types and advantages of risk retention, why and how a company would choose risk retention, and what are the claims and contact details of Dan Risk Retention Group, Inc. South Carolina.

An image illustration of Risk Retention group
Risk Retention Group
Credit; Freepik

What does a Risk Retention Group do?

A risk retention group (RRG) is a type of insurance company that is owned and operated by its members, who share a common business or activity.

An RRG is formed under the federal Liability Risk Retention Act of 1986, which allows an RRG to operate in multiple states without being subject to state regulation, except for the state where it is domiciled.

An RRG can only write liability insurance, such as general liability, professional liability, or product liability.

It can offer lower premiums, broader coverage, and more control over claims and risk management to its members.

What are the two types of risk retention?

Risk retention is a strategy to deal with risk by keeping or assuming the potential loss, rather than transferring it to another party, such as an insurance company.

There are two types of risk retention: active and passive.

Active risk retention is a deliberate and conscious decision to retain the risk, based on the analysis of the costs and benefits of doing so.

Passive risk retention is an unintentional and unaware retention of the risk, due to the lack of knowledge, planning, or insurance.

Active risk retention is preferable to passive risk retention, as it allows the company to manage the risk more effectively and efficiently.

What is the 5 risk retention rule?

The 5 risk retention rule is a rule that requires the sponsors of asset-backed securities to retain at least 5% of the credit risk of the assets that collateralize the securities.

The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 introduced the rule to prevent the financial crisis of 2007-2008 from happening again. The securitization of risky assets, such as subprime mortgages, partly caused the crisis.

The sponsors and the investors had to share the same interests, and the rule made the sponsors check the quality and due diligence of the underlying assets.

Dan Risk Retention Group, Inc. contact

Item Information
Phone Number (843) 762-1805
Address 115 Central Island St Ste 100, Charleston, SC, 29492-7320
Customer Service Contact William Ziefle, Chief Executive Officer and President and Secretary
Policy Details Dan Risk Retention Group, Inc. is a liability insurance company that provides coverage for divers and dive professionals. It is affiliated with the Divers Alert Network (DAN), a non-profit organization that promotes dive safety and education.
Email Address info@dan.org
Fax Number (919) 490-6630
Operating Hours Monday to Friday, 8:30 a.m. to 5 p.m. ET

What are the general advantages of risk retention?

Risk retention has some general advantages over risk transfer, such as:

  • Lower cost: Risk retention can save the company the expenses of paying premiums, commissions, taxes, and fees to an insurance company. Risk retention can also avoid the inflation of premiums due to the adverse selection and moral hazard problems that affect the insurance market.
  • Greater flexibility: Risk retention can give the company more freedom and control over the design and implementation of its risk management program. Risk retention can also allow the company to tailor the coverage to its specific needs and preferences, and to adjust it as the situation changes.
  • Tax benefits: Risk retention can provide the company with some tax benefits, such as deducting the losses and expenses from its taxable income, and accumulating the reserves in a tax-deferred account.
  • Competitive edge: Risk retention can give the company a competitive edge over its rivals, by enhancing its reputation, customer loyalty, and market share. Risk retention can also enable the company to access new markets and opportunities that may not be covered by traditional insurance .

What are the factors to consider when choosing risk retention?

When choosing risk retention, the company should consider the following factors:

  • The nature and magnitude of the risk, such as the frequency, severity, predictability, and variability of the potential loss, and the impact of the loss on the company’s operations, finances, and reputation.
  • The cost and benefit of the risk retention, such as the savings from avoiding the insurance premiums, taxes, and fees, and the expenses of paying the losses, establishing the reserves, and administering the risk management program.
  • The availability and adequacy of the insurance, such as the coverage, terms, and conditions offered by the insurance company, and the compatibility of the insurance with the company’s needs and objectives.
  • The legal and regulatory requirements, such as the laws and rules that govern the formation, operation, and taxation of the risk retention group, and the compliance and reporting obligations of the company.
  • The risk appetite and tolerance of the company, such as the level of risk that the company is willing and able to accept, and the amount of risk that the company can afford to retain .

Dan Risk Retention Group, Inc. South Carolina claims

  • Notify Dan Risk Retention Group, Inc. South Carolina as soon as possible, by calling 1-800-446-2671 or emailing claims@dan.org. Provide the details of the incident, such as the date, time, location, parties, witnesses, injuries, and damages.
  • Cooperate with Dan Risk Retention Group, Inc. South Carolina and its representatives, such as the claims adjuster, the attorney, and the expert. Provide the necessary information, documents, and evidence to support the claim. Follow the instructions and advice given by Dan Risk Retention Group, Inc. South Carolina and its representatives.
  • Do not admit liability, make any statements, or sign any documents without the consent of Dan Risk Retention Group, Inc. South Carolina and its representatives. Do not discuss the incident or the claim with anyone else, except for Dan Risk Retention Group, Inc. South Carolina and its representatives.
  • Keep a record of the incident and the claim, such as the correspondence, receipts, invoices, and reports. Keep a copy of the policy and the certificate of insurance. Keep track of the status and progress of the claim.

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