CAPTIVE INSURANCE
equipping clients to manage their own risk
We maximize the overall financial benefits of a comprehensive risk management program that includes captive insurance as one of its key elements. Since we take a conservative risk-based approach to captive solutions, we think it is vitally important to have checks and balances for your captive. BRP has the flexibility to utilize our strategic relationships with CPA, legal, and actuarial services or maximize your current relationships.
who is captive insurance right for?
Captive insurance programs are comprised of best-in-class companies looking to reduce premiums by partnering with like-minded businesses in joint-ownership of their own insurance entity.
Captive insurance can be complex, but it’s benefits can be an excellent option in generating investment income, tax shelters, and assists in avoiding industry rating volatility. BRP simplifies the captive insurance landscape and all that goes into it. Feel free to reach out to us, and we’ll walk you through the process of finding the right policy for you.
captive & risk management
frequently asked questions about captive insurance
Our Captive Insurance & Risk Management specialists ask the right questions to ensure your employees and organization are setup for success.
The easy sell: signing up for a customized and affordable insurance program. However, the particular risks these companies are facing are either not friendly to budgets, and/or uninsurable.
Organizations structuring their risk capital in a position to support their unique needs is where captives make the most sense.
A captive insurance company represents an option for many corporations and groups that want to take financial control and manage risks by underwriting their own insurance rather than paying premiums to third-party insurers. Some of the more notable advantages include improved cash flow, increased coverage and capacity, reduced operating costs, coverage tailored to meet your organizations specific needs, and so much more.
Additional advantages of going captive are:
- Investment income to fund losses
- Direct access to wholesale reinsurance markets
- Funding and underwriting flexibility
- Greater control over claims
- Smaller deductibles for operating units
- Additional negotiating leverage for underwriters
- Incentives for loss control
- Alternatives to costly practice of trading dollars with underwriters in working layers of risk
- Tremendous flexibility in managing risk
Captive insurance is designed for specific companies in mind. The following criteria is what helps define an "ideal candidate" for who participates in captives:
Ideal candidates for who participates in captives can include:
- Company leadership is committed to reducing claims and investing in a culture rooted in best practices and safety
- Combined premiums of $150,000 or more in workers compensation, general liability, and auto
- Faces necessary risk
- Multiple entities within the business; or those able to develop other operating subsidiaries
- Companies want to reduce their reliance on commercial insurance
- Owners looking to enjoy substantial tax deductions
- Companies wish to navigate less strict government regulations
- Owners desire to customize their insurance plans
Shifting risk is not as easy as it may seem. BRP specializes in providing the tools, resources, and guidance for organizations to succeed in captive risk management.