Guy Carpenter & Company, LLC, is a global risk and reinsurance specialist[1] based in New York with more than 60 offices worldwide. Placing more than $51 billion in gross premium volume in 2021,[2] Guy Carpenter has grown to become one of the world’s leading reinsurance brokers.
 | |
| Company type | Subsidiary |
|---|---|
| Industry | Reinsurance |
| Founded | 1922 |
| Headquarters | New York, New York, United States |
Key people | Dean Klisura (President and Chief Executive Officer, David Priebe (Chairman) |
| Products | Reinsurance, securities, strategic advisory services |
| Revenue | $1.867 billion (2021) |
Number of employees | 3,400 |
| Parent | Marsh McLennan |
| Website | www |
The company, a subsidiary of Marsh McLennan, was acquired by Marsh & McLennan Companies in 1923.[3]
History
edit1922–1999
editGuy Carpenter (1869–1935)[4] founded the company in 1922 and concluded a merger with MMC founders Henry W. Marsh and Donald R. McLennan about a year later.[5][6] Concurrently, he was the manager[7] of Atlanta-based[8][9] Cotton Insurance Association,[6] which had been organized in 1905.[10]
The Carpenter Plan
editThe Carpenter Plan[11] was based on using a rolling average of losses, over a period of years, rather than simply looking at the prior year.[12] One result was that insurance contracts were focused more on what was not covered. Carpenter's contracts were more inclusive - the focus was on what was excluded.[13] Fire insurance paid for the damage resulting from a fire. An example of how this did not work was the following:
- A bale of cotton sitting in a railroad car caught fire. By the time the insurance company won an appeal against having to pay, "No insurance for the loss of the cotton" was paid, but, to help the owner of the cotton rebuild the business, "a loan or advance has been made to him by the insurance company, to be repaid ..."[14] By the time of this injustice, Carpenter's plan, which he had discussed with Lloyd's of London in 1915, [6] was beginning to take root.[12]
2000–present
editThe firm occupied eight floors (47–55) in the South Tower and one (94) in the North Tower of the World Trade Center in New York City until the 9/11 attacks destroyed the complex in 2001.
In February 2020, Guy Carpenter & Company entered into a multi-year agreement with Karen Clark and Company (KCC) to license its catalogue of natural catastrophe models, analytics and execution software.[15] Another area is "Cyber insurance",[16][17] working with Symantec to measure "severity and frequency."[18]
References
edit- ^ Adriano, Lyle (November 11, 2022). "Guy Carpenter launches new reinsurance optimization tool". Insurance Business. Retrieved January 4, 2023.
- ^ "Guy Carpenter : Everything you need to know". Insurance Business. Retrieved January 4, 2023.
- ^ "Marsh & McLennan Companies, Inc. History". Funding Universe. Retrieved January 4, 2023.
- ^ "Guy Carpenter". The New York Times. March 3, 1935.
- ^ "Guy Carpenter". The New York Times. March 10, 1935. p. 34.
- ^ a b c "Guy Carpenter - Insurance Hall of Fame Laureate Profile". Retrieved November 24, 2018.
- ^ "How Umbrella Policies Started Part 1: Early Liability Coverage". March 2000.
Guy Carpenter ... when he was insurance manager of the Cotton Insurance Association
- ^ "Cotton Insurance Association". The New York Times. September 24, 1905. p. 22.
F. M. Butt of Atlanta has been chosen manager of the Cotton Insurance Association
- ^ Spectator [Philadelphia]. An American Review of Insurance. 1922.
Texas Commissioner of Insurance ... with the Cotton Insurance Association of Atlanta, which is ...
- ^ "Full text of Annual Cyclopedia of Insurance in the United States". 1915.
COTTON INSURANCE ASSOCIATION .. organized in 1905
- ^ Peter Borscheid; David Gugerli; Harold James (2013). The Value of Risk: Swiss Re and the History of Reinsurance. OUP Oxford. ISBN 978-0199689804.
... broker Guy Carpenter ... the Carpenter Plan represented
- ^ a b "Guy Carpenter Elected to the Insurance Hall of Fame". January 31, 2011.
- ^ "Over 90 years of clarity".
- ^ "Dejean v. Louisiana Western R. Co., 118 So. 822".
- ^ Smith, Ryan. "Guy Carpenter inks agreement with Karen Clark and Company". Insurance Business. Retrieved February 28, 2020.
- ^ "Guy Carpenter Forms Strategic Alliance to Develop Cyber Aggregation Model - The Council of Insurance Agents & Brokers".
- ^ "Ransomware attacks are pushing up the cost of cyber insurance". The Washington Post. June 17, 2021.
- ^ Adam Janofsky (September 30, 2018). "Why Infrastructure Attacks Might Be Cyber Insurance's Weak Point". The Wall Street Journal.