Captive Basics

  Rachel Seale-Consulting Actuary-Milliman

Actuarial Analysis: A Necessary Exercise with Many Potential Benefits

An actuarial analysis is typically required for companies that retain a significant dollar amount of insurance risk, usually through a self-insurance program or a large deductible program, and is a great way to determine if your company would benefit from a captive.
September 16, 2020 Read More
  Dark-Haired Businessman Wearing Suit Ponders Question Marks

Ask the Right Questions To Determine Whether a Captive Is the Answer

As insurance markets continue to harden, many businesses are considering captive insurance companies as an option to address some of their risks. Before taking the step, however, it's important to consider whether a captive is the right fit and, if so, what sort of captive structure is most appropriate.
June 10, 2020 Read More
  Joel Chansky - Consulting Actuary at Milliman

How a Captive Insurance Company Can Save Money for Its Owners

Joel Chansky, consulting actuary with Milliman, explores the question of whether captives save money. The answer is yes and no. Group captives are intended to save money. Owners of single-parent captives face start-up and annual costs, but the captive could provide tax savings and even a profit center.
May 13, 2020 Read More
  A notecard with the words "free webinar" with the image of a cloud giving off a Wi-Fi signal

Upcoming MSI Webinar To Focus on Captive Insurance 101

Management Services International (MSI) will present a webinar on the various types of captive insurance companies and the insurance coverages they can provide. The 2-hour webinar will begin at 3 p.m. (eastern) on April 30 and will be presented by Jeremy Colombik and Richard Colombik.
April 23, 2020 Read More
  Steven Bauman, head of global programs and captive practice in North America, AXA XL

Captive Insurance Uses and Risk Management Evolve Together

Captive insurance companies have evolved into tools that allow organizations to implement their risk management strategies in a much more comprehensive way, says Steven Bauman, head of global programs and captive practice in North America at AXA XL, in a new Captive Thought Leader Video.
April 15, 2020 Read More
  Podcast Antennae 480x377

MSI's New Podcast Focuses on Captives and P&C Insurance Agents

Raleigh-based Management Services International (MSI) has released its latest podcast episode titled "Captives, Working with P&C Insurance Agents." The new podcast is available immediately from Maximizing Strategic Income (MSI) on Apple Podcasts, or at the MSI Podcast Library.
March 25, 2020 Read More
  Stewart Feldman standing in front of a shelf of books

Captive Insurance Planning and the Role of Advisers

Capstone Associated Services' CEO and General Counsel Stewart A. Feldman explains the critical components required for implementing effective alternative risk and captive insurance planning.
February 27, 2020 Read More
  Business Man Questions SF Feature

What Is the Difference between Self-Insurance and Captive Insurance?

Captive insurance is a type of self-insurance that is available to most business owners, regardless of the size of their enterprise, that offers all the benefits of a fully self-funded insurance plan while providing additional incentives and a risk management framework.
December 11, 2019 Read More
  Insight Light Bulb-SF

Agency Captives Offer Deeper Relationships and Better Insights

For an insurance agency, an agency captive can provide an opportunity to have "skin in the game" of its clients' coverage in exchange for a share of the premiums and investment income the client business generates. The benefits of an agency captive can extend beyond additional revenue streams, however.
December 02, 2019 Read More
  How Does It Work-SF

How Does a Captive Insurance Company Work?

A captive insurance company operates in a similar way to a traditional property and casualty insurance company. Find out how a captive insurance company works, according to captive manager Management Services International.
November 20, 2019 Read More
  7 Dice Green-SF

7 Ways Captive Insurance Companies Provide a Competitive Edge

Based on their balance sheet strength, operating performance, and business profiles, captive insurance companies have consistently outperformed commercial market insurers. Captives can play a positive role and are able to provide a competitive edge to the organizations using them. Find out how.
October 14, 2019 Read More
  5 Film Countdown-SF

5 Reasons Not To Form a Captive Insurer

There are five key questions to ask before deciding whether to form a captive insurance company. We rank the questions in order of importance and provide a road map for prospective captive owners to consider.
August 05, 2019 Read More
  Dark-Haired Businessman Wearing Suit Ponders Question Marks

Captive Insurance: Why or Why Not?

There are numerous factors to contemplate when deciding whether or not to form a captive insurance company. Read about some of the advantages and disadvantages of captive ownership to consider when deciding whether to form a captive insurance company or not.
June 10, 2019 Read More

ERM Basics for Group Captives

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.
June 05, 2019 Read More
  Businesswoman Chart-SF

Can a Captive Insurance Company Insure Employee Benefits?

Increasingly, organizations today utilize some form of captive insurance to fund the costs of employee benefits such as medical and life insurance, accidental death and dismemberment, long-term disability, and retirement. Learn about the advantages and disadvantages of funding benefits through a captive insurance company.
May 06, 2019 Read More
  Constant Change-SF

Forming and Operating a Captive Insurer Involves Constant Change

Captive insurance companies should be in a continual process of evaluation, and captive owners should continually be reviewing and evaluating their captive program's exposures, coverages, and limits of liability to determine how these impact the capital in their captive, according to captive experts.
April 23, 2019 Read More
  Key-Holding Businessman-SF

How To Set Up a Captive Insurance Company: A 5-Step Primer

How do you set up a captive insurance company? Find out the key steps necessary to successfully establish a captive insurance company on
April 10, 2019 Read More
  Mark Sims

Establishing a Captive Insurance Company

According to Mark Sims, vice president of business development at Captive Alternatives, LLC, the process for getting a captive insurance company established can be approached by taking the business owner through the underwriting process, just as it would do if it were buying any insurance.
April 08, 2019 Read More
  Ask a Question-SF

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
  Businesswoman in Suit Jacket Contemplates Question Marks Around Her Head

What Are the Key Elements of a Captive Feasibility Study?

What is a captive feasibility study? A feasibility study is a study undertaken to determine whether a contemplated risk financing program is feasible for a particular organization or group of organizations. A study, or a proposal for a captive feasibility study, should always begin by stating its scope and purpose.
February 18, 2019 Read More