Article August 10, 2022

Recent risks: Financial institutions

Take a look at some of the risks we’ve recently written in the financial institutions team. With a broad appetite, wide product offering and rapid service, we take into consideration the extensive range of exposures faced by today’s financial institutions to provide you with the best coverage.

  1. Investment management insurance (IMI)

    Limit: $1m E&O/D&O
    Deductible: $150k

    Established in 2021, a start-up venture capital (VC) firm currently has $10m assets under management (AUM). The target fund size is $40m with a focus on female-led technology companies on a pre-seed basis. They are experienced in building companies outside VC hubs, with a diverse team and a strong track record. CFC offered them $1m E&O/D&O on our investment management product which includes cover for the fund.

  2. Financial institutions PI (FIPI)

    Limit: $3m E&O/D&O
    Deductible: $20k

    Established in 2021, a start-up community nonbank lending business offers support to impact organizations and social enterprises. These organizations bring positive social, environmental and cultural benefits to the region. The loans are tailored to the organizations’ projected growth profile and repayment capacity, focusing on shared success. In order to meet the client’s demands and needs, CFC wrote the policy on our FIPI wording.

  3. FinTech

    Limit: $2.5m E&O/D&O/Crime/Cyber
    Deductible: $100k

    A challenger bank targets SMEs with a product offering of payment, banking, debit and virtual cards services. With an experienced executive team and advisory board, they have gone through significant funding rounds and are forecasting $60m in revenue in the next few years. CFC provided them with the complete package of E&O and D&O, in addition to crime and cyber on our bespoke FinTech product.

  4. Investment management insurance (IMI)

    Limit: $2.5m E&O/D&O
    Deductible: $100k

    A fund manager was established in 2018 to help support a local church to provide capital, business advisory and technical assistance for mission-related social businesses. CFC provided $1m E&O/D&O coverage on our tailored
    investment management insurance product.

For more information about FinTech insurance check out our financial institutions product page or get in touch!