New and Innovative Uses for Captives

Some of the emerging uses for captive insurance companies, as Brady Young of Strategic Risk Solutions explains, are enterprise risk coverages for generally uninsurable exposures, customer risks such as warranties and service contracts, healthcare capitation risks involving services that cost more than their legally allowed pricing, and medical stop loss coverage. Although not new, some other areas of growth in the use of captive insurance companies include terrorism risk and physician risk retention groups.