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Funeral Services
Funeral Service organizations are a natural fit for our business model of forming producer-owned reinsurance companies (PORCs). We believe that funeral organizations with the ability to produce substantial pre-need business will almost always be best served through the formation of their own reinsurance company and can also benefit from significant tax advantages as a result of these arrangements.
Our Funeral Industry insurance Products include:
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Pre-Need Burial Insurance
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Final Expense Life Insurance
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Credit Life and Accident & Health Insurance
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24 hour fax claims service
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Quick turn-around time on commission payments (three working days)
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Electronic deposits for agent advances
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Custom designed financial reports
SouthwestRe builds long-term synergistic relationships between the producers and direct writers who participate in the reinsurance program. These relationships benefit producers in two key ways:
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Producers are able to realize the profits through the formation of the their own insurance companies.
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Even though PORCs have minimal capitalization, they have the potential to realize the same profits as a fully capitalized insurance company, at a much lower effective tax rate.
For direct writers, these relationships:
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Establish long-term relationships with producers
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Foster inherent improvement in the profitability of their business
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Have a fixed cost associated with administering business
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Improve the quality of their business
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Mitigate current tax and FAS consequences related to pre-need business
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Have no immediate DAC tax on reinsured business
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Generate immediate revenues through commission allowance income