Captive Insurance Industry and Alternative Risk Transfer Market News

Management Services International (MSI)


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Reinsurance Issues and Captive Insurer Claims Handling

According to Lynn Sheils, general counsel of EWI Reinsurance, under the notice clause and the claims cooperation clause, a reinsurer has the duty to pay unless it has been prejudiced. Prejudice may be easier to show if a captive insurer is not handling its claims like a traditional insurance company.
March 21, 2019 Read More

Captive Compliance 101: A Checklist for Maintaining a Healthy Captive

Making sure that your captive insurance company is bulletproof begins with verifying it is set up for the right reasons. This article discusses areas that an active captive insurance company should review frequently to remain compliant and in good shape. Read the latest from Management Services International.
March 20, 2019 Read More
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The Data Revolution in Actuarial Science

A new white paper by Milliman discusses the development of an actuarial technique involving the use of individual claims data to build loss reserve models. We offer commentary on this new technology and why it should be of interest to captive insurers and their board members.
March 18, 2019 Read More
Bruce Wright

Captive Insurance Compliance and Direct Procurement Taxes

Bruce Wright, partner at Eversheds Sutherland (US) LLP, discusses direct procurement taxes in the context of captive insurance. Most states have a statute that is either a direct placement statute or an industrial insured statute. An ongoing issue for captive insurers is the compliance concern with direct placement taxes.
March 13, 2019 Read More
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CICA Presents this Year's Outstanding Captive Award to ACIG

This year's Outstanding Captive Award was presented to American Contractors Insurance Group Ltd. (ACIG) at the opening session of the Captive Insurance Companies Association (CICA) 2019 International Conference in Tucson, Arizona.
March 11, 2019 Read More
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What Is a Protected or Segregated Cell Captive?

Captive insurers fall into two main groups. Pure captives are 100 percent owned, directly or indirectly, by their insureds. Sponsored captives are owned and controlled by parties unrelated to the insured. Read on to learn about rental captives and protected cell captives.
March 04, 2019 Read More
Governance Game Plan

Upping Your Governance Game Plan

We recently reviewed the report from the Strategic Risk Solutions corporate governance survey. While the overall results are encouraging, it is clear the captive community still lags behind our commercial competitors when it comes to good corporate governance.
February 27, 2019 Read More
Plus Minus Seesaw

Redomestications and Home State Moves Benefit Some US Captive Domiciles

While many US states, amid such factors as a continued soft commercial market and merged companies with captives consolidating their captives, saw little, if any, growth in 2018 in the number of captive insurance companies as the closure of captives exceeded newly licensed captives, there were some notable exceptions.
February 25, 2019 Read More
Board Room Meeting

First Impressions—SRS Governance Survey

We provide a review and opinion on the recent Strategic Risk Solutions (SRS) captive corporate governance survey. We note where captives are falling short of best practices and also offer some thoughts for how captive insurers might improve.
February 20, 2019 Read More

Recent News

Peter Mullen Officially Rejoins Artex as CEO

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Peter Mullen has officially rejoined Artex Risk Solutions, Inc., as CEO, with David McManus assuming the new role of chairman.
March 22, 2019 Read More

Marijuana Industry Still Faces Significant Insurance Coverage Issues

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The expansion and availability of medical and legalized recreational marijuana along with future growth projections position the marijuana industry as an emerging market for insurers, according to A.M. Best.
March 21, 2019 Read More

Provisional Captive Licensing Legislation Introduced in Tennessee

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Newly introduced legislation would, among other things, give the Tennessee insurance commissioner authority to issue provisional licenses to allow new captives to operate while their applications for a regular license are being reviewed by regulators.
March 20, 2019 Read More

Students from 9 University Teams To Compete at RIMS 2019

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RIMS, the risk management society™, has selected nine universities to compete in Boston for the 2019 Spencer-RIMS Risk Management Challenge top honor.
March 19, 2019 Read More

RAA Reports Improved US Reinsurer Operating Results Year over Year

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The latest Reinsurance Association of America (RAA) survey reveals that a group of 17 US property-casualty reinsurers wrote $59.3 billion of net premiums during the 12 months ended December 31, 2018, compared to $45.3 billion for the same period in 2017.
March 19, 2019 Read More

CICA Elects Steve McElhiney of EWI Re as Its Board Chair

The Captive Insurance Companies Association (CICA) has elected Steve McElhiney to chair the organization's board of directors. Mr. McElhiney is president of Tall Pines Insurance Company and CEO and chairman of EWI Re.
March 18, 2019 Read More

Hamilton Acquires Pembroke Managing Agency and Ironshore Europe

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Bermuda-based Hamilton Insurance Group, Ltd. (Hamilton), is set to acquire Liberty Mutual Group's Pembroke Managing Agency Limited at Lloyd's and its Dublin-based Ironshore Europe DAC business.
March 15, 2019 Read More

Bermuda Included in EU Tax Blacklist in "Error"

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The European Union has updated its list of noncooperative tax jurisdictions. The so-called blacklist document identifies 15 countries for failing to meet agreed good tax governance standards. This year's list includes Bermuda, the world's largest captive domicile.
March 15, 2019 Read More

Washington State Collects $3.6 Million from Costco's Captive Insurer

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Arizona-domiciled NW Re Limited, a captive insurance company owned by Costco Wholesale Corp., will pay $3.6 million in premium taxes, penalties, interest, and a fine in a settlement it reached with Washington State Insurance Commissioner Mike Kreidler.
March 14, 2019 Read More

Gary Bowers Receives CICA's Distinguished Service Award

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At its annual International Conference on Monday, the Captive Insurance Companies Association (CICA) honored captive tax expert Gary Bowers with the CICA 2019 Distinguished Service Award.
March 13, 2019 Read More

CICA Announces Student Essay Contest Winners at Annual Conference

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Temple University Seniors Angel Song and Alana Vicale received first place honors in the Captive Insurance Companies Association (CICA) college student essay contest, "Next Generation Captive Insurance Solutions for New Risk Challenges."
March 12, 2019 Read More

Michigan State University Turns to Captive Insurance Following Scandal

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In a recent Wall Street Journal article by Melissa Korn, titled "After Nassar Scandal, Michigan State Lacks Broad Sexual-Misconduct Insurance," it was reported that Michigan State University has turned to a captive insurance solution after finding itself without direct liability insurance for sexual-misconduct claims following the Larry Nassar sex-abuse scandal.
March 12, 2019 Read More

Guy Carpenter Heavyweights To Boost Lockton's Reinsurance Business

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Lockton has recruited Guy Carpenter heavyweights to form the leadership team for Lockton Global Re, its new global reinsurance business.
March 12, 2019 Read More