GBG insurance collapse… What does this mean for international schools using TieCare? (regular updates)

Executive Summary – Updates from One World Cover

On 21 December 21, 2023 GBG Insurance Limited (the parent company of TieCare) was placed into administration. What does this mean for international schools using TieCare?

In such unfortunate situations, predictably there are likely to be issues with:

  • very anxious international school leadership teams (Heads, HR, Finance, Operations etc)
  • very anxious faculty members
  • claim issues, in particular with direct billing at hospitals and clinics, and through third party claim administrators (TPAs)
  • TieCare staff being laid off
  • very anxious brokers who are helping clients
  • claims in limbo as a new owner takes over (to be confirmed)
  • and other downstream issues that will come up in the months ahead.
What should my international school do now? Plan for the worst, hope for the best.

We sincerely wish Mark T. and the TieCare team well in their efforts, and hope to see them continue to serve the international school community.

The TieCare team have been quick to provide feedback and support to clients, throughout this period of transition.

Inevitably, there is uncertainty around the new TieCare and potential changes the new owners may implement, particularly around renewal pricing.

And as a broker, we represent the client – the international schools (not TieCare, nor any insurer), and as such we are preparing for all eventualities.

We are in the process of quoting alternate insurers for a number of GBG TieCare school clients who have been affected.

If your school is affected, we already have multiple options available from global brand A-Rated insurers that offer: 

  • matched benefits, 
  • matched services 
  • closely matched premium rates
Renewal Premiums? Should my school expect PREMIUM SHOCK from TieCare in August 2024?

The schools market is very competitive and many schools are not running profitably for their respective insurer.

Should we expect the agreements and terms of TieCare’s new insurer to be conservative?

Will your schools rates increase in August 2024? Only time will tell.

Get in touch if your school would like to get in front of these questions and have a number of competitive options on the table to compare from global brand A-Rated insurers

Contact us at [email protected], or click the following link to schedule a zoom meeting.

Executive Summary – Updates from International Schools

International schools insured with TieCare are obviously concerned and monitoring the situation VERY closely.

International schools are asking us to urgently quote alternate insurers.

We have been notified of some faculty members being denied direct billing.

We have been notified of some direct billing partners withdrawing their services from TieCare faculty members until further notice.

Concerns expressed from faculty and HR are mostly around billing issues with hospitals and clinics.

Executive Summary – Updates from TieCare

21 December 21, 2023 GBG Insurance Limited (the parent company of TieCare) was placed into administration.

24 December 21, 2023 TieCare began notifying clients and brokers that clients, and announced: “that our management team, in conjunction with a financial investor and an “A”-rated insurance carrier, has agreed to acquire TieCare International and will assume all facets of your international medical, life, disability and travel policies. The closing is expected to be completed in early January, and is subject to regulatory approval.”

5 January, 2024 TieCare announced “that it was breaking away from its parent company and forming a new independent insurance platform starting January 2024.”

16 January, 2024 TieCare announced “Bison Capital, in conjunction with the management teams of the business units it will acquire, purchased TieCare International”.

26 Jan 2024 Update directly from TieCare including FAQ’s

TieCare provided the One World Cover team with an update to pass onto international schools.

22 Jan 2024 Update specifically for TieCare International policyholders

Guernsey Financial Services Commission released this information in an update:

“The administrators of GBG Insurance Limited have announced that they have reached an agreement which has secured a buyer for parts of Global Benefits Group’s international education insurance businesses and its administration platform. The acquisition of these assets will allow for continuity of service and benefits for a number of GBG Insurance Limited’s customers.”

Source: https://www.gfsc.gg/news/further-update-specifically-tiecare-international-policyholders-gbg-insurance-limited

16 Jan 2024 Executive Summary – Acquisition update

“Bison Capital, in conjunction with the management teams of the business units it will acquire, purchased TieCare International”.

“This transaction allows TieCare to remain a leading go-to insurance brand for international schools,” said Mr. Mark Tomaszewski, President of TieCare. “We look forward to continuing to serve our long-term customers and adding new clients as well.”

5 Jan 2024 Update – TieCare issues statement update to customers and market

TieCare announced “that it was breaking away from its parent company and forming a new independent insurance platform starting January 2024.”

1 Jan 2024 Update – FAQ section for TieCare clients

GBG have updated their website with a FAQ section for TieCare clients. Click here to read.

24 Dec 2023 Update – TieCare issues statement to customers and market

21 Dec 2023 Update – GBG Insurance Limited was entered into administration (insolvency).

Source: gbg.com

Source: https://www.gfsc.gg/gbg

The Guernsey Financial Services Commission also published an update on their website specifically for TieCare International policy holders. Click here to read.

Get in touch if your school would like to get in front of these questions and have a number of competitive options on the table to compare from global brand A-Rated insurers

Contact us at [email protected], or click the following link to schedule a zoom meeting.

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