Tangram Launches Forge Energy: A Captive Insurance Program for Fuel Distributors

Tangram Insurance Services has launched Forge Energy, a captive insurance program designed specifically for fuel and propane distributors, aiming to provide greater risk and reward alignment for its members.

This innovative program seeks to mitigate indemnity loss exposure, capping it at $350,000 per claim, while also returning underwriting profits to operators committed to robust risk management strategies. With premium allocation claimed to be more transparent than that found in standard market offerings, Forge Energy presents a compelling option for those in the sector navigating complex risk landscapes, which include managing mixed vehicle fleets and pollution exposures. Supported by Coaction, a partnership that has been active since 2014, the program's underpinnings reflect a well-founded collaboration aimed at addressing industry challenges.

Program Structure and Eligibility

Eligibility for Forge Energy encompasses a wide range of distributive operations, including retail and wholesale fuel distributors, as well as those dealing in heating oil, liquefied petroleum gas, compressed natural gas, gasoline, and diesel. The program extends its coverage to include casualty insurance, targeting both general liability and commercial automobile risks such as pollution, with additional options for property, excess liability, and workers compensation outside the captive structure.

Tangram’s Commitment to the Energy Sector

Krissy Kyjovsky, Tangram's executive vice president, highlighted that Forge Energy is a testament to the company’s dedication to supporting the downstream energy sector. She emphasized, "This captive allows us to better align risk, reward, and long-term performance, giving high-quality operators more control and a sustainable path forward."

Tracy Bernard of Balavant Insurance Group echoed these sentiments, affirming the value of Tangram’s expertise and the stable carrier capacity offered through Coaction. According to Bernard, the program is designed to enhance stability for distributors by leveraging disciplined underwriting and offering reliable carrier support.

Key Features and Advantages

• Indemnity loss exposure capped at $350,000 per claim.
• Member-owned structure ensures return of underwriting profits for effective risk management.
• Eligibility includes diverse distributors: fuel, heating oil, propane, CNG, gasoline, and diesel.
• Comprehensive coverage addressing general liability, auto risks, and pollution.
• Enhanced industry stability through disciplined underwriting and reliable carrier partnerships.

As Tangram Insurance Services continues to solidify its role in the energy and fuel distribution sectors, Forge Energy stands out as a strategic initiative aimed at offering tailored solutions in a challenging and often volatile industry environment.