What Is a Protected or Segregated Cell Captive?

June 7, 2024

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. Read More

5 Questions To Ask When Considering a Captive Insurance Company

June 6, 2024

Under the right circumstances, a captive can provide myriad benefits and, increasingly, mid-to-large firms are looking to form or join a captive insurance company. Find out how captive insurance companies operate, the different types of captives, and five key questions to ask when considering whether to form a captive. Read More

What Are Insurance-Linked Securities?

June 6, 2024

Insurance-linked securities (ILS) are financial derivatives based on insured loss events, allowing insurers to transfer risk to capital market investors, offering diversification and potential better returns. Read More

Insurance-Linked Securities and Collateral: An Essential Overview

May 29, 2024

Insurance-linked securities (ILS) let insurers transfer risk to investors, boosting reinsurance capacity and offering diverse, higher-return investments. Read More

How Do Captive Insurers Use Reinsurance?

April 30, 2024

A captive is an insurance or reinsurance company set up exclusively to insure or reinsure the risks of the group to which it belongs. A captive insurer may operate as a direct insurer or a reinsurer. Read on to find out more about how captive insurers use reinsurance. Read More

Basics of Loss Development Triangles

April 25, 2024

As a member of the board of a captive insurance company, you have a responsibility to understand the key concepts that underpin how the captive performs. This second in a series of articles continues this educational process, focusing on the concept of loss development. Read More

ERM Basics for Group Captives

April 23, 2024

In this primer for how group captives can begin the enterprise risk management (ERM) process and develop the necessary expertise, we explore why the board should have an ERM committee as well as its responsibilities and charter. Read More

Communication Is Key to Successful Collateral Negotiations

April 17, 2024

Collateral negotiations can often be contentious. While collateral is required for a variety of insurance programs, opinions of how much collateral is necessary can differ significantly. An objective discussion between the actuaries behind the loss projections on both sides of the negotiation can help find valuable middle ground. Read More