Although it is not a requirement to be a shareholder in Everen Specialty Ltd. energy companies seeking to be a shareholder of Everen Specialty Ltd. must be an “Energy Company” and meet the eligibility guidelines. To qualify as an “Energy Company”, either more than 50% of the company’s annual gross revenues or more than 50% of the company’s “Gross Assets” must be derived from “Energy Operations”.
“Gross Assets” are defined as property, plant and equipment, before deducting depreciation expense, plus inventory, materials and supplies.
“Energy Operations” are broadly defined to include the activities usual to energy companies, i.e. exploration, production, transportation, distribution, refining, storage and marketing of crude oil, natural gas and chemical products, as well as, the generation, storage, transmission and distribution of energy, and the mining of mineral deposits or ores. Services conducted principally for the benefit or account of others such as drilling, marine transportation and independent contractor business are not considered as Energy Operations.
Once a company is approved, its worldwide subsidiaries and affiliates are covered (unless otherwise agreed), and other types of operations are insured whether or not they are energy industry related.
An energy company purchasing insurance from Everen Specialty Ltd. can choose to be a Shareholder. (Minimum of $25 million in limits)
A non-shareholder insured purchases insurance from Everen Specialty Ltd. in the same way as the conventional insurance market. A non-shareholder insured does not have voting or dissolution rights.
A Shareholder must purchase one share in Everen Specialty Ltd. for $5,000.
A Shareholder is able to accrue both voting rights and dissolution rights as well as have the opportunity to nominate a representative stand for election to the Board of Directors.
The following information is needed for consideration to quote.
- Full Submission (including Bermuda Market Application)
- 10 Year General Liability Loss History (claims over $2 million)
- Description of the size and structure of current program and which layer and policy form Everen Specialty Ltd. would be asked to quote
Contact with Everen Specialty Ltd. should be made through a broker. Due to tax and regulatory constraints, American and Canadian based companies should contact Everen Specialty Ltd. through a non-American and non-Canadian broker.
It is the policy of Everen Specialty Ltd. to comply with all international sanctions imposed by the United Nations, the United States of America, the European Union and all other countries which have jurisdiction over Everen Specialty Ltd. and its operations. In addition to other safeguards, Everen Specialty Ltd. regularly endorses its polices to exclude coverage for claims that could reasonably expose the company to the penalties associated with sanctions.