One of the biggest myths that lingers about Discretionary Mutuals is that they are for bad risks or the uninsurable.
When in fact, the opposite it true.
Sometimes, industries or individual organisations that have been deemed as ‘bad risks’ are misunderstood.
According to Picnic Labs, the appointed manager of Our Ark Mutual, this means these industries or organisations tend to be mispriced in the general insurance market.
In reality, they may be 'good risks' and are suitable to join a Discretionary Mutual.
To determine the true risk of any potential Member, Our Ark prices each building individually to create an overall view for both the Member, and the Mutual.
This produces a risk-based price, plus the opportunity to factor in risk management strategies, maintenance and other factors that genuinely present a 'good risk'.
Each Member of Our Ark pays a contribution for its protection that reflects the real risk it presents.
If there are few claims, as a non-profit entity, surplus is retained to provide benefits for all Members.
To learn more about how Dicretionary Mutuals work, read the Insurance News Article.
Our Ark acknowledges the Traditional Custodians of the land on which we operate, live, and gather as employees, and recognise their continuing connection to land, water and community. We pay respect to Elders past and present.
