DAN Liability: Committed to a Stable Future

When you purchase liability insurance from DAN, you’re backed by more than an insurance policy. You’re supported by an organization that has been helping divers for over 40 years. In addition, your coverage is supported by three different insurance companies. Through these companies, DAN has created a strong foundation to ensure we can meet the liability insurance needs of the dive industry — now and in the future. 

In the U.S., policies are underwritten by DAN Risk Retention Group, Inc. (DAN RRG), a South Carolina-domiciled insurance company. DAN RRG is regulated by the South Carolina Department of Insurance and is owned by DAN (99.5%) and its insureds/members.

DAN World Insurance Group SP (DWIG), a cell of DAN SPC, Ltd,is a Cayman Islands-domiciled insurance company that underwrites professional liability insurance for dive businesses and professionals outside the U.S. DWIG also participates for 50% of the risk in the policies issued by DAN RRG in the U.S. DWIG and DAN SPC are regulated by the Cayman Islands Monetary Authority and pay U.S. income taxes; both are 100% owed by DAN.

To protect against excessive losses, the DAN liability program is backed by excess insurance coverage purchased from Lloyd’s of London. This insurance pays that portion of each claim that exceeds $500,000. For example, if a DAN RRG insured was obligated to pay a $1 million judgment, DAN RRG and DWIG would pay the first $500,000, and Lloyd’s of London would pay the second $500,000.

As this program enters its seventh year we are pleased to report that the financial condition of the two DAN companies is excellent. At year-end 2022 they held $32,781,673 in combined assets, with reserves for claims and unearned premiums of $20,520,098.  When combined with the protection provided by Lloyd’s of London for claims over $500,000, the DAN liability program is well positioned to handle current and projected future losses.

DAN has a 40-year history of serving the diving industry and helping divers meet their insurance needs at a reasonable price. DAN brings this same commitment of offering programs that help divers to the DAN liability program. Since each of these companies is DAN-owned, any profits will be: (i) retained by the respective DAN company to further build reserves, or (ii) reinvested with DAN to promote dive safety.

DAN’s primary objective for the liability program is to provide a stable, long-term solution to the liability insurance needs of the recreational diving industry. To do this we must ensure that DAN RRG and DAN World Insurance Group SP remain financially strong and continue to build reserves. We must always remember that today’s premiums will be needed to pay tomorrow’s claims. Thank you for your continued support of DAN.