Meadowbrook has an existing client that is a domiciled Workers' Compensation insurance carrier. They are a Professional Employer Organization (PEO) and provide employee related services (payroll, taxes, health benefits, etc) to their clients in Florida and surrounding states. They are only licensed to write Workers' Compensation in Florida at this time, but they are looking at obtaining certificates of authority to write Workers' Compensation in other states.
They needed to find a solution to be able to offer their PEO clients Workers' Compensation coverage in states outside of Florida. They didn't want to direct the outstate clients to another agent or Workers' Compensation carrier to buy this coverage.
They approached Meadowbrook to see if we would be able to assist them with their immediate business need, as we were previously able to provide a complete solution for another business opportunity for them. Meadowbrook proposed a fronting arrangement in these key states, whereby, our carrier would issue Workers' Compensation policies to their PEO clients and they would reinsure us 100%. This was the complete solution to their business needs, as it allowed them to not only provide a managed Workers' Compensation market in these states, but provided a "One Stop Shopping" solution to their customers overall PEO needs.
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