Reasons To Cover Benefits in Captives

 
Employee Benefits In Captives | Debbie Liebeskind | Actuary, Health & Group Benefits | Towers Watson

In this video, Debbie Liebeskind of Towers Watson lays out some of the primary reasons companies have for covering employee benefits in their captives. The reasons include better cash flow for claims payments, the opportunity to earn interest on reserves held for paying future benefits, and additional opportunities for accelerated tax deductions on property and casualty coverages within the captive. Typically, the benefits coverages that companies end up putting in their captives are life insurance, accidental death and dismemberment, and long-term disability.