It’s Pig Iron Beneath Water! – Cyber Tech

This put up is a part of a sequence sponsored by Outdated Republic Surety.

To a few of my fellow insurance coverage professionals, the surety enterprise has at all times had an air of secrecy about it. Maybe it’s the unique language we use referring to “Obligee’s” and “Principals”. Perhaps it’s the surety underwriter’s capacity to shortly unlock the secrets and techniques of a shopper’s monetary assertion and translate a web page of numbers to feedback of reward or questions of concern.

It’s true that easy, clearer language can break down obstacles and make writing surety enterprise extra snug for some. Lately I’ve seen a motion in altering software and bond kind language to consult with the Obligee merely because the “Proprietor” and substitute the phrase principal with “Contractor”. We have to eschew obfuscation. I imply, keep away from overly sophisticated phrases.

One among my favourite idioms used within the surety enterprise got here immediately from the insurance coverage business. We’ll generally obtain a submission the place the agent has written clearly on the prime of the submission “PIUW“. This stands for Pig Iron Beneath Water. This previous section comes from the early days of fireside insurance coverage. Pig Iron is an intermediate product of the iron business, often known as crude iron. When Iron ingots are made (these are used to make Ductile Iron pipe, as an illustration) they break off molten items of the iron off the runner (often called the sow) into water to chill. The cooling ingots kind right into a form that appears like a child pig, thus the identify pig iron. The purpose of the assertion is that Iron is taken into account comparatively inflammable (It melts at 1200 levels Celsius). Now put iron underneath water, and by way of a fireplace threat, you’ve got concerning the most secure threat there’s. So pig iron underneath water is a solution to signify a positive factor. A secure guess. It’s cash within the financial institution. It’s the absence of threat.

After all one individual’s pig iron underneath water will be one other individual’s oily rags within the nook on a sizzling day. That is why we’ve underwriters to make that willpower.

We imagine surety ought to be accessible to everybody and we’re prepared that will help you translate the subsequent alternative into enterprise fortune. So when you’ve got a building shopper that wants a efficiency and fee bond or when you’ve got industrial surety want or query, contact us and we are going to show you how to along with your surety wants.

This weblog was initially printed on the Outdated Republic Surety web site. It’s reproduced right here with permission.