Articles

The Case for Centralized In-House Loss Control with Captive Insurance

March 20, 2017

Written by a practicing risk manager, this article outlines some of the potential advantages of embedding centralized loss control within a captive and how doing so can reduce the cost of risk. Read More


Captive Insurance Assets and Investment Policies

March 13, 2017

It is important for captive board members to be conversant in certain key concepts. This article, fourth in a series, looks at assets of captive insurers and the components of an investment policy. Read More


Uncertain Times Squared: The Future of Investing for Insurers

March 3, 2017

What new ideas, technologies, and ways of conducting our lives do we see impacting our economy and financial markets? The future of investing for insurers, in the next 7-10 years, will see artificial intelligence and especially machine learning having a very pronounced impact on our careers, companies, and daily life. Read More


What Is a Reciprocal Insurance Company and How Is It Taxed?

March 1, 2017

A reciprocal insurance company is an arrangement through which mutual promises of the participants are exchanged with respect to their insurance risks. While not a separately incorporated company, it is characterized as an insurance company for federal tax purposes. Read More


Why Do Captives Get Credit Ratings?

February 27, 2017

While the need for ratings by traditional insurers is obvious, it is not so apparent for captives. This article explains why some captive insurance companies go through the credit rating process. Read More


831(b) Micro-Captive Challenges

February 8, 2017

Currently, there is great uncertainty as to how the Internal Revenue Service's challenges to micro-captives will be resolved. With this in mind, a panel of captive insurance experts discussed ways to mitigate the challenges during last month's 2017 World Captive Forum. Read More


The Basics of the 831(b) Election for Captives

January 25, 2017

Section 831(b) of the Internal Revenue Code may be elected by qualifying captives to exempt the captive insurer's underwriting profits from federal income tax. This article discusses the prerequisites that must be met as well as the transactions of interest reporting requirements. Read More


What Is FATCA and How Do Captives Handle It?

January 18, 2017

This article discusses the Foreign Account Tax Compliance Act (FATCA) and how FATCA's requirements affect captives. FATCA's provisions operate to encourage compliance with US information reporting requirements by imposing a withholding tax on those that fail to comply. Read More