Wealth Management

As a long-term strategy for maximizing future returns, the CFC is a 100% dealer-owned company.

• Can’t be a single shareholder
• Wholly owned
• Vertically integrated business
• Written premium deposited monthly
• Monthly cession intervals maximize investment income
• Dealer owns his/her own insurance company
• Receives all investment income and underwriting profit
• Strong actuary, risk and process disciplines to drive increased profits
• Potential tax deferral
• Qualifying dividends taxed at favorable rates

A Non-Controlled Foreign Corporation may be a great option for our dealer partners as a long-term strategy for maximizing underwriting profit and investment income. The structure has multiple shareholder-owners and provides a superior dividend feature as well as a defined redemption formula. Qualifying stock redemptions are taxed at favorable rates.

Program Highlights:

• 100% owned by shareholders
• No single shareholder owns more than 10 percent
• Defined exit strategy for redemption of shares and dividends
• Maximized investment income because of shorter ceding intervals

Profit Generation:

• Premium ceded (net of claims and expenses) monthly
• Net premium deposits begin to generate investment income immediately
• Lower loss ratio equals greater underwriting profit

Distribution of funds:

• Dividends: Underwriting profit of a participation policy year is eligible for payment as a dividend at the end of the eighth year.
• Stock redemption: Upon your written request, and approval by the board, shares are redeemed based on book value.

An agreement between you and AutoSolutions designed to provide long-term income with no up-front costs (Profit and Equity Bonus)

Profit Bonus

• Loss ratio less than 100% allows you to receive profit on eligible policy years
• Receive up to 100% of the profit in the account, based on your service contract production
• Paid after just 75% of an eligible policy year’s business is earned
• Profit bonuses paid every six-months based on eligible policy years are yours to keep

Equity Bonus

• Inception-to-date loss ratio of less than 100% qualifies you to receive investment income
• Minimum of 90 contracts every six months to receive program benefit
• Equity bonuses paid every six months are yours to keep

• Advances
• Risk Management Portfolio Services