History of International Private Deposit Insurance (Deposit Guarantee)

Corporate Overview

United Kingdom Guarantee Company S.A. (UKGC) is a first company in the World, who provide International Private Deposit Insurance service and second company in the World, who provide Private Deposit Insurance service apart from a federal and government deposit insurance systems.

United Kingdom Guarantee Company S.A. (UKGC) provides deposit insurance (Risk Coverage for deposits) exclusively to the next financial institutions: commercial and merchant banks, credit unions, trusts, finance houses,  discount houses and building societies. It is a private-owned and member-owned, deposit guaranty corporation, and is the international's largest non-federal insurer of consumer deposits. United Kingdom Guarantee Company S.A.  is not a government agency. Members' accounts are not insured or guaranteed by any government or government-sponsored agency. The company draws its strength from the geographical and occupational diversification of its clients, as well as its deployment of sound underwriting and risk management principles. Regard for state sovereignty and a mission to meet changing client needs without undue interference in the day-to-day operations of its insured client are just two reasons clients have selected UKGC as their primary deposit insurer.

As a private-owned fund, the company operates at the pleasure of its clients and, as such, is directly accountable. This accountability evolves through the board of directors, who are elected by the owner and clients, and committees intended to solicit and consider client input. This private enterprise structure enables the company to function quickly and efficiently to meet client needs and to address issues of safety and soundness.

Since beginning business, the company has focused on being an innovator in deposit insurance, always emphasizing the need to separate the insuring of accounts from that of regulating for statutory compliance. This philosophy sets UKGC apart from a federal system where regulation and insurance are commingled under the control of one common board.

The company has chiseled out a niche in the marketplace because of its reputation for creativity, financial stability, service and support of client independence. The company defines its role as that of an insurer and a trustee of an insurance fund effectively owned by its owner and clients. Under enabling statutes, it serves no direct regulatory role, reserving that responsibility to the client regulator of each state.

Due to varying economic conditions and the diverse occupations served by our member-clients, UKGC considers the insurability of each institution on a case-by-case basis. This customized approach to service promotes a closer working relationship with both the client and its state regulator, and enables clients to have the freedom necessary to meet their member needs.

As a regulated company itself, UKGC is subject to comprehensive oversight at many levels. For example, the company is jointly regulated by the departments of commerce in its state of domicile. In addition, it is also accountable to regulators in each state and country in which it operates. State client regulators from these states are invited to participate in an annual audit of UKGC, which is conducted by of domicile. Furthermore, the company has an annual audit and actuarial study prepared by a national accounting firm. Results of the audit are reported to the membership only in the company's annual report, and the financial statements are also provided, upon request, to individual clients.

Regulations governing UKGC 's investment practices are written to assure that the company invests only in the safest of investments... largely direct obligations of the U.S. government or those of U.S. government agencies.

It is the combination of financially sound insured institutions, comprehensive regulatory oversight, a history of proven performance, and a commitment to sound management of a member-owned and private-owned fund that has allowed UKGC to enjoy an enviable position as the International's largest provider of non-federal deposit insurance.

[UKGC] [Services] [Basics] [Programs] [Liability] [Miscellaneous] [Special] [Crime] [Vehicle] [Aviation Policies] [RM Accounting] [Staff RM Issues] [Loss Control] [BANK] [Coverage] [News] [FAQ] [Download] [Contact Us] [Copyright]