Market News
Expecting Continued Cell Captive Growth, Innovation
Cell captives provide a simple, affordable approach for organizations considering using alternative risk financing strategies to address risks that may be costly or difficult to insure. A cell captive gives owners a strategic risk management tool that can be implemented in much less time than a single-parent captive. Read More
District of Columbia Licensed 25 Captive Insurance Companies in 2022
The District of Columbia licensed 25 new captive insurance companies in 2022, boosting the domicile's total number of captives to 191. District of Columbia captive regulators said they expect new captive formations will continue to be strong in 2023. Read More
February "CICR" Looks at AI for Modeling Hurricane Risk
Don't miss the February issue of "Captive Insurance Company Reports" ("CICR"), which looks at the role that artificial intelligence (AI) and big data might play in better understanding hurricane risks and potential losses. Read More
Commercial Insurance Price Increases Continued To Moderate in Q4
Global commercial insurance prices increased 4 percent during the fourth quarter of 2022, as the pace of quarterly increases continued to slow, according to the "Marsh Global Insurance Market Index." Prices had previously increased 6 percent during the third quarter and 9 percent in the second quarter. Read More
Return-on-Equity, Cost of Capital Gap Driving Reinsurance Prices Higher
A persistent gap between return-on-equity ratios and the overall cost of capital is a key factor in higher reinsurance prices, according to A.M. Best. While the reinsurance segment's return-on-equity ratios have been approximately 4 to 5 percent, the cost of capital in the market is at least twice that. Read More