SECUREPLAY:
Bolster your German iGaming license while meeting the requirement of a €5 million guarantee, mandated by the German regulator.
HOW DOES IT WORK?
German market
Igaming operator wants to enter the German market and discovers a financial guarantee is required in order to get licensed.
SecurePlay
Operator signs up with EM Group & Qrumble for the SecurePlay product.
Premium scoping
Start application with insurer and calculation of the risk rating. Once the bond premium is set, a roadmap will be presented for implementation of the SecurePlay product.
Foundation & Guarantee
EM Group sets up the foundation to separate the player funds while Qrumble provides the coverage for the financial guarantee.
Licensing & operation
The license will be issued by the regulator and the operator can enter the market.
German market
Igaming operator wants to enter the German market and discovers a financial guarantee is required in order to get licensed.
SecurePlay
Operator signs up with EM Group & Qrumble for the SecurePlay product.
Premium scoping
Start application with insurer and calculation of the risk rating. Once the bond premium is set, a roadmap will be presented for implementation of the SecurePlay product.
Foundation & Guarantee
EM Group sets up the foundation to separate the player funds while Qrumble provides the coverage for the financial guarantee.
Licencing & Operation
The license will be issued by the regulator and the operator can enter the market.
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SecurePlay combines EM Group's compliance expertise and Qrumble's insurance expertise to fulfill the requirements from the German regulator.
KEY FEATURES
OF SECUREPLAY
- Optimizes gaming license requirements by fusing an insurance with a foundation, also for existing license holders
- Fund separation; the foundation keeps the player funds separate from the operators risk bearing capital
- Providing a source of guarantee which is not a bank
The German regulator, Gemeinsame Glücksspielbehörde der Länder (GGL), is currently in the process of approving SecurePlay as a compliant product for Germany, so that we can assist iGaming companies in obtaining their license to operate in that jurisdiction.
WHAT ARE THE BENEFITS?
SECURITY FOR THE PLAYERS
The foundation acts as an independent third party to which the players can turn to claim their funds.
SECURITY FOR THE INSURANCE PARTY
By having a licensed corporate service provider managing the foundation under the supervision of an independent supervisory board monitoring the Player Funds, the insurance party is comforted that the foundation will have sufficient funds in its accounts for safeguarding to entirety of the Licensee’s Player Funds, and if for any reason the Licensee is non-compliant, that they will be informed immediately of such non-compliance. The risk for the insurance companies is therefore severely reduced and with that also the related costs.
SECURITY FOR THE LICENSEE
Presently, the financial obligations tied to fulfilling guarantee stipulations pose significant challenges for operators. Through the implementation of the foundation, our intent is to offer operators a financially feasible avenue to attain licensing as online gambling providers.
SECURITY FOR THE GERMAN ONLINE GAMBLING MARKET
The highly regulated German market is known for its high standards when it comes to protection of players and society. By implementing a foundation to safeguard Player Funds, a significant stride for Germany in its progression toward cementing a responsible gambling jurisdiction is made.
SecurePlay assists operators in obtaining a gaming license in Germany by overcoming the obstacles associated with meeting the substantially high guarantee requirements. It does so by providing a bond from an approved insurance company and the ability to separate player funds from operational and risk-bearing capital with the establishment of a foundation.
Navigating a Catch-22: Securing a license in Germany's online gambling sector presents a unique challenge. To obtain approval from the Gemeinsame Glücksspielbehörde der Länder (GGL), operators must provide a substantial €5 million guarantee. However, a significant roadblock emerges when attempting to secure this guarantee from a bank. Banks can only extend assistance to licensed entities, yet the operator can only obtain the required license once the guarantee is in hand. Not to forget that the related costs for bank guarantees are quite substantial.
Managing Financial Hurdles: The cost implications are noteworthy. Operators face a choice between tapping into their operational capital to cover the €5 million requirement or seeking a bank guarantee of a similar amount, also at substantial charges. Finding the right financial strategy becomes paramount in this intricate landscape.
That is where SecurePlay comes in.
ABOUT QRUMBLE
Qrumble Insurance SL is a global consumer-centric brokerage, specializing in tailored insurance solutions benefiting consumers and businesses. What sets them apart:
1. Bespoke solutions driving consumer value and business growth.
2. Tailored approach ensuring client satisfaction and profitability.
3. A unique synergy of marketing and insurance expertise, crafting innovative strategies and comprehensive coverage.
4. Internationally regulated digital brokerage, maintaining a robust presence in key locations (Netherlands, Spain, UK) for reliable, secure services, and global compliance.
5. A-rated financial backing, instilling client confidence in reputable and stable coverage.
6. Specialization in multi-territory solutions streamlines cross-border business expansion, ensuring seamless coverage and compliance.
With offices in Madrid, London, and Amsterdam, their international account management offers personalized support, simplifying the insurance process and saving valuable time. Their track record in B2B and direct-to-consumer insurance showcases proven results, safeguarding businesses and individuals, and enhancing financial security.
OUR RESPONSIBILITIES
1. Setting up the foundation
2. Ensuring separation of player funds
3. Providing expertise on regulatory compliance
1. Providing the insurance coverage
2. Acting as the financial guarantor
3. Providing expertise on financial stability
ABOUT SECUREPLAY
Simply put, SecurePlay helps setup your iGaming company without having to break the bank. SecurePlay sets a new standard for trust, transparency, and security in the world of online gaming, ensuring peace of mind for operators and players alike, while ensuring compliance with regulations.
HERE ARE SOME KEY FAQS ABOUT
SECUREPLAY
SecurePlay aids operators in overcoming the challenges posed by Germany's stringent gambling regulation requirements to obtain a license. It assists by providing a bond from an approved insurance company and establishing a foundation to separate player funds from operational and risk-bearing capital.
SecurePlay provides security for players by having an independent foundation to claim their funds related to casino and sportsbetting games, reduces risk for insurance parties through fund management in the context of casino games, offers financial feasibility for licensees involved in casino and sportsbetting games, and contributes to the responsible gambling standards of the German online gambling market, particularly in the domain of casino and sportsbetting games.
SecurePlay optimizes gaming license requirements for online casino games and sportsbetting games by combining insurance with a foundation, ensuring fund separation specific to online casino games, offering regulatory expertise tailored for online casino and sportsbetting games, providing a non-bank source of guarantee for online casino and sportsbetting games, and catering to operators' specific needs and regulatory demands related to online casino and sportsbetting games.
Operators encounter a Catch-22 situation where they must provide a substantial €5 million guarantee to obtain approval from the GGL for a gambling license. However, banks can only assist licensed entities, creating a roadblock as operators need a gambling license to secure the guarantee essential for obtaining the gambling license.
The best way for online gambling operators to in Germany to apply for SecurePlay is by contacting us or by the "make an inquiry" link at the top of this page. The GGL is in the process of approving SecurePlay as a compliant product for Germany, providing a great option to online gambling operators to alleviate the burden of the €5 million guarantee.
Qrumble Insurance SL is a global brokerage specializing in tailored insurance solutions for consumers and businesses. They stand out with bespoke solutions tailored for the German market, offering international regulation compliance, A-rated financial backing, and expertise in multi-territory solutions for seamless coverage and compliance in Germany.
HERE ARE SOME KEY FAQS ABOUT
OPERATING AS AN ONLINE GAMBLING COMPANY IN GERMANY
The Gemeinsame Glücksspielbehörde der Länder(GGL) or the Interstate Treaty on Gambling in Germany is the gambling regulator in Germany and has been granted the authority to enforce rules to uphold gaming law and penalties on advertising, specifically for the protection of players and minors. The GGL is a leading gaming regulator. It is responsible for combating illegal gambling and ensuring compliance with the State Treaty on Gambling 2021, which prohibits public gambling in Germany without a permit and allows for private operators to offer services on the German market with a license. It regulates both online and land-based casinos in Germany. It enforces prohibition orders, IP blocking, and the blocking of payment service providers to enforce gambling laws in Germany. It also takes care of the protection of minors in the context of gambling, measures aimed at addressing gambling addiction and penalises operators for different types of breaches of regulation.
Gaming regulation in Germany plays a vital role in overseeing the gambling landscape, ensuring compliance with strict laws and regulations. Operators in the German gambling market must adhere to the guidelines set by the gambling authority to maintain a legal and ethical operation within the industry.
Need more information about
OPERATING IN GERMANY?
Contact us to discuss your specific needs.
WHERE YOU CAN FIND US
EM Group offers compliance and corporate services for companies active in the online-gaming industry in Curaçao, Malta, the Netherlands and Cyprus
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