What is a Captive? What are its benefits?
Captive insurance is a unique and powerful solution for businesses looking to take control of their risk management and insurance needs. By creating and owning their own insurance company, businesses can insure themselves against a wide range of risks, including property damage, liability, and workers’ compensation.
One of the key benefits of captive insurance is the flexibility it offers. Unlike traditional insurance plans, a captive insurance policy can be tailored to meet the specific needs of a business, allowing them to design coverage that is truly customized to their operations. Additionally, by creating a captive insurance company, businesses can establish a loss fund that can be used to pay claims, as well as earn investment income that would otherwise have been earned by a third-party commercial insurance carrier.
Another advantage of captive insurance is the ability to internalize risk. This means that, rather than paying premiums to transfer risk onto a third-party carrier, a business can keep the risk within its own organization, giving them more control and visibility over the claims process.
At ZRM Brokerage, we understand the unique challenges that businesses face when it comes to managing their risk and insurance needs. That’s why we specialize in helping businesses evaluate if a captive insurance company is right for them, and providing guidance and support throughout the process of setting up and managing a captive. Whether you’re a small business just starting out or a large corporation looking to streamline your risk management, we’re here to help.
ZRM’s Captive Capabilities
Is now the right time for you to start a captive?
Together we can strategically review regulatory measures, the necessary paperwork and administrative processes:
- Actuarial studies, feasibility and strategic reviews
- Financial reporting
- Fronting, reinsurance, and collateral negotiation
- General management services
- Loss analysis
- Regulatory compliance
- Risk management services
- Underwriting and technical insurance consulting
Ready to discuss your risk management? Contact ZRM Brokerage today.