Fact Sheet
Understanding the Difference Between OCIL and OIL
OCIL |
OIL |
|
Ownership |
Energy Company Shareholders |
Energy Company Shareholders |
Lines of Business |
Excess Liability, D&O, Employment Practices, Fiduciary, Excess Property, Assumed Reinsurance |
Property Damage, Control of Well, 3rd Party Pollution |
Property Insurance |
Maximum Capacity $50 Million |
Maximum Capacity $400 Million |
Premium Calculation |
Flexible; underwriter discretion |
Formula driven |
Event Aggregation limit* |
No |
Yes |
Follow Form capacity |
Yes |
No |
Ability to assess membership for losses |
No |
Yes |
Insured required to be a Shareholder |
No |
Yes |
- Two separate and distinct companies
- Separate Board of Directors
- Separate financial statements
- There are no financial guarantees or indemnifications between the two companies
- Membership is mutually exclusive – do not have to be a Shareholder of one to join the other, however a percentage of OCIL’s members are also OIL members
- Similarity – both companies are managed by the same management company, Oil Management Services Limited (OMSL)
* Unlike OIL that has a single event aggregation limit, OCIL does not
Shareholder Information
Oil Casualty Insurance, Ltd. (OCIL) is focused on the energy industry and offers energy insureds an opportunity to become a Shareholder in the Company.
Shareholders
Are invited, with qualified expenses reimbursed by the Company, to the General Meetings of the Company, thereby having a say in the future direction of the Company and joining peers in networking opportunities to enhance risk management and insurance buying decision making.
- Are encouraged to serve on the Board of Directors of the Company
- Accumulate voting rights (capped at 9.5%), based on premiums earned.
- Ability to vote on items presented at General Meetings of Shareholders
- Qualify for a monetary distribution in the event of declared dividends or dissolution of the Company
To become a Shareholder, one must purchase a minimum of $25 million in limits, complete a Shareholder Application and Information Form (attached) and purchase one (1) common share of stock for US$5,000 (or the foreign currency equivalent).
If a Shareholder no longer purchases a policy or elects to terminate their shareholder status, upon returning their OCIL share certificate, the Company will refund the US$5,000 share price without interest. Although becoming a Shareholder is generally decided at the time of binding, a policyholder can convert to a Shareholder yet past premiums cannot be used in calculating voting and dissolution rights.
It is important to note that OCIL is a non-assessable mutual; Shareholders cannot be assessed for anything other than premiums.
Corporate Donations
Philosophy
OMSL (and its associated companies Oil Insurance Limited and Oil Casualty Insurance, Ltd.) is a major business enterprise with a significant, long-term stake in the community of Bermuda. The Companies are committed to maintaining Good Corporate Citizen status. To this end we wish to financially assist and facilitate programs that promote a better quality of life for all Bermuda residents. In addition, we encourage our employees to be active participants in volunteer programs in the local community.
Funding
OMSL have established an annual Corporate Contributions budget which is distributed at the discretion of the Corporate Contributions committee.
Decision-Making Process
The Committee meets three times per year, typically in April and November. We spend the majority of our budget at the first meeting of the year, so you are encouraged to submit your request prior to March 31.
Requests may be submitted to: community@omsl.bm. Please keep your request brief, if we require additional information, we will request it.
Key Areas of Support
Our primary areas of focus include:
- Disadvantaged families
- Youth programs that support healthy lifestyles
- Environment and conservation initiatives
- Broad reaching community projects
Criteria
The Committee will consider requests from Bermuda-registered charities whose programs reach a broad segment of the local community. All requests must be received in writing. Requests in excess of $10,000 require supporting financial information relative to the organization and/or specific project.
Exclusions
Consideration will not be made to individuals, religious organizations, political groups, schools, individual sports clubs, PTA’s, travel and charitable intermediaries (for example, Lion’s Club).
Generally, contributions will not be considered for programs or projects that more appropriately should be funded as a matter of public policy.