High quality captive design, formation and management services.
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Captive Benefits

KEY BENEFITS OF CAPTIVES

The following chart lists all key benefits of captive insurance companies compared to self insurance and commercial insurance:



Effectively designed and managed captive insurance companies achieve these goals and objectives:

Business Goals of Captive Insurance Programs: 

  • Improve cash flow predictability and balances
  • Retain control over risk assets (money)
  •  Improve risk coverage - cover uncovered risks
  • Reduce risk financing cost - lower premiums
  • Create new profit center
  • Minimize taxes
  • Increase asset portfolio liquidity

Objectives of Captive Insurance Structures:

  • Avoid the volatility of the cyclical insurance market
  • Tailor insurance policies and programs to your specific needs
  • Improve risk management by controlling risk via improved claims management, underwriting flexibility and access to wholesale reinsurance markets
  • Reduce insurance costs
  • Improve cash flow
  • Improve Claim Reserve Investment Management
  • Capture Underwriting Profits
  • Increase tax saving opportunities
  • Expand wealth accumulation options
  • Protect assets
  • Reduce asset transfer costs
Click here to read excellent introductory articles on the benefits of successful family businesses owning a 831(b) qualifying captive insurance company.

The business risks of embarking on a course to achieve the above goals and objectives can be explored by clicking here.
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