History of Unimutual

Unimutual's predecessor company was first able to offer services to members in 1990.

The creation of The Australian Universities Protection and Indemnity Foundation and its Trustee Company, A.N.Z.U Mutual Association Limited (A.N.Z.U) was the result of a decision by a number of universities to have more control over their risk financing with the intention of minimising the extreme market fluctuations that can occur from time to time.

Two years earlier, in Canada over 40 Universities established their own Mutual (CURIE). They were persuaded to do so because of the reduced capacity and extreme premiums for liability insurance in the North American market at that time. This capacity problem also had its impact on the Australian market and was another factor for Universities in Australia looking initially at a mutual operation.

Following a report by independent consultants as to insurance viability and with advice on the most appropriate structure, the Vice-Chancellor of the University of Queensland, under Deed of Settlement, established the Foundation on 8 ^th December 1989.

Incorporation of Unimutual in 2003 following Financial Services Reform

The Financial Services Reform legislation introduced significant reforms for the providers of financial services and financial products. Entities providing financial services are now required to hold an Australian Financial Services licence. A new company, limited by guarantee, Unimutual Limited (Unimutual) was established in October as the vehicle for the AFS licence application and the licence became operational on 31 ^st December 2003. Unimutual is authorised to provide financial product advice and deal in both general insurance products and miscellaneous mutual risk products for wholesale clients. As a product issuer Unimutual is authorised to issue its own financial product, which is membership of the mutual and the protection offered to members. Membership of the mutual and the protections offered to the members are subject to the discretion of the Unimutual Board.

Unimutual Insurance (NZ) Ltd (2003 to October 2010)

In January 1997, A.N.Z.U established, as a wholly owned subsidiary, an insurance company in New Zealand. Unimutual Insurance (NZ) Limited was established primarily to gain direct access to reinsurance markets. Unimutual Limited manages its own financial risks by entering into a Deed of Indemnity with Unimutual Insurance (NZ) Limited. This indemnity is triggered when Unimutual Limited accepts a claim for protection from a member and the claim exceeds Unimutual's level of self-retention. Unimutual Insurance (NZ) is an authorised insurer in New Zealand who is not required to have an insurance rating as it has only Australian insureds. Unimutual Insurance (NZ) Limited is reinsured for any liability that it may have for claims made on it by Unimutual Limited or ANZU. Since 1 ^st November 2010, UINZ has been dormant.

Unimutual Insurance Company Ltd replaces UINZ (since November 2010)

By reason of the introduction of more onerous insurance legislation in New Zealand making making the ongoing operation of UINZ untenable, UICL was incorporated and set up as a licensed insurer in the Isle of Man. Since 1st November 2010, UICL has replaced UINZ in providing direct access to reinsurance markets as described above.

Unimutual (Isle of Man) Limited (UIOM)

In October 2008 Unimutual Limited established Unimutual (Isle of Man) Limited (UIOM), an Isle of Man company, as a wholly owned subsidiary. One of the reasons for the establishment of UIOM was to enable Unimutual Limited to continue to access risk transfer arrangements with UINZ (now replaced by UICL) and the reinsurance markets, without creating an on-shore presence for UINZ (or now UICL) and consequent requirement to become an authorised insurer in Australia with attendant capitalisation requirements.