What You Need To Know About Captive Insurance

Whether you own a small or big business, it’s important to find tools and products that address the unique needs of your company. From outsourcing professional services to industry-specific software tools, each company has its own needs to help improve operations and profitability. Insurance products help cover typical various risks that could expose your company to certain liabilities and claims. Traditional coverages may not be enough for your firm, and bearing the risk might not be an option. What can you do to protect yourself, especially with risks that are difficult to insure?

Understanding Captive Insurance

Captive insurance allows organizations to form a licensed insurance company to cover its own risks. Some of the benefits from this approach include the following:

  • Cost reduction – Avoids volatile pricing from traditional insurers
  • Difficult risk coverage – Risks not sufficiently addressed by typical products
  • Direct access to reinsurance markets – Added protection from a major claims event through purchasing additional insurance
  • Increased cash flow – Lowered costs frees up funds to be used at your firm’s discretion

Captive insurance puts you in control, enabling companies like yours to take the lead in analyzing risks, drafting policies, determining premiums and deciding what to do with unused money.

Determining Your Coverage

Captive insurance can be used for various types of coverages that are necessary for business, including general liability, workers’ compensation, auto, professional liability (errors and omissions) and more. Captives can also be tailored to your unique needs. See how a captive insurance program can boost your business today.