Bapco Energies Establishes Captive Insurance Company

Bapco Energies in Bahrain is teaming up with ACE Gallagher captive management to establish its own captive insurance company.

This strategic move comes in light of challenges in the hardening insurance market, as Bapco Energies aims to enhance control over its insurance portfolio and bolster its negotiating power with commercial insurance markets in order to better manage its insurance costs.

Mark Thomas, group CEO of Bapco Energies, said of the initiative, "We have seen a global surge in the use of captive insurers as a critical risk management tool amidst the challenges of an increasingly hardening insurance market exacerbated by higher rates. We expect this upward trajectory to persist throughout this decade."