Practical Steps for Forming a Captive Insurance Company

Captive formation requires careful planning, experienced partners, and a clear understanding of organizational goals. In our latest video, Courtney Boles of Management Services Internationaloutlines the foundational elements business owners should consider when establishing a captive insurance company, beginning with identifying why the captive is being formed and what business objectives it will support. The video emphasizes evaluating insurable risks and partnering with a qualified captive manager who can coordinate actuarial analysis, underwriting, and program design to determine appropriate coverages and premium levels.

The discussion also explores structural decisions, including selecting a domicile, determining entity type, assessing fronting and reinsurance needs, and involving tax and financial advisers. Once incorporated and licensed, captive owners must establish operational processes such as issuing policies, opening bank accounts, and setting claims reporting protocols, as well as planning for ongoing governance obligations like annual meetings and regulatory filings.

📺 Watch the full video on Captive.com to gain insight into the formation journey and key milestones for launching a compliant and effective captive insurance company.