A captive insurance company is one that is owned and controlled by its insured(s).
Captives offer organizations the flexibility to retain pre-determined
levels of risk, with the ability to reinsure higher, catastrophic levels of risk through the
commercial insurance/reinsurance market.
Upon establishment of a captive program, Ashton Tiffany can help develop goals for
the program and manage it accordingly.
Advantages of a captive:
- Flexibility in underwriting and the level of retained risk
- Protection against insurance market volatility
- Greater control over claims
- Stronger incentive for loss control
- Improved cash flow
- Ability to generate investment income and reduce the
overall cost of risk
- Direct access to reinsurance markets
used by commercial insurers
- Alternative to trading dollars with commercial insurers
in the working layers of risk
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