Membership

Member Qualifications

Profile of a Desirable Member

What do we look for in potential Members of ACIG?

  • Sponsored/recommended by at least two ACIG Members
  • Privately-owned
  • No foreign ownership
  • $20 Million minimum net worth
  • $3 Million minimum ACIG premiums for GL, WC, Auto, and/or CCIP, (first-dollar)
  • CEO’s full engagement on safety, risk management, and quality, and an ongoing commitment to and engagement with the other ACIG Members
  • Understanding and support of the long-term underwriting approach of ACIG
  • Approved for membership by all existing ACIG Members
Commitment by Members

What do we expect from our Members?

Engagement by the Member’s CEO and executive team with ACIG and the other Members by participating in at least the two main meetings of the year: the Annual Meeting in February and the Autumn Risk Management Workshop in October.
Purchase of common stock in a total amount of $75,000 when the commitment is made (non-refundable).
Purchase of a ten-year, interest-bearing debenture based on approximately 10% of the first-year premiums at the time insurance is placed.
Placement of business for a minimum of three years.
Commitment to achieve a 10% underwriting margin on net premiums to ACIG until capital target is met. ACIG uses retrospective rating plans with three-year terms.
During the fourth, fifth, and sixth years, business must be placed with ACIG or a maintenance fee of 2.5% of the average annual premiums during the 3 previous years of active participation is to be paid.
After six years, there are no further obligations to purchase insurance.
There are penalties for default, primarily a 50% reduction in equity interest.
Members are subject to calls for pro rata capital contributions - although only one capital call has ever been made and that was in 1985.