“From a mortgage perspective, that underlying security is likely to deteriorate more and more because the consumer is like, ‘I don’t really have the 1% of the value of the house,’ or 3 % of the value of the house in some cases to pay for the new roof, new siding or new gutters, whatever the case is and so it is very important to make sure they have alternatives so that there is always an incentive to follow the path accordingly.
Such examples abound in the aftermath of Minnesota’s destructive hailstorms, he noted. “We’re seeing that right now,” Gray said. “The only case I saw was a $2,600 deductible for a middle-income household.” The example was an ideal prototype of the type of consumer eligible to have their franchise payments paid over time: “Frankly, the contractor can’t, but the captain can,” Gray said of the source to which one would turn to spread out the payment. .
MPA noted the serendipity of having started the company in an era of inflation when the cost of everything rose. “We’re not economists, but in this case the sheer volume of price increases certainly puts strong tailwinds to the program,” Gray acknowledged. “It’s about people knowing when there’s a better solution for them.”
San Francisco-based Captain launched in May 2021 with a $140 million capital injection, Gray said. The company maintains an operations center in Louisville, Kentucky. Eligible insurers must have a rating of B-plus or better from rating agency AM Best.
