A captive insurance model is an alternative to traditional insurance, particularly beneficial for companies facing high insurance costs, such as those related to workers’ compensation. Unlike traditional insurance, where premiums paid by companies go to a third-party insurer, in a captive insurance model, the insured companies themselves retain control over the funds and are able to benefit directly from any profits, such as from strategic investments or lower-than-expected claims costs.
A captive insurance model allows companies to directly benefit from prudent risk management and operational efficiency, providing a financially advantageous option for those seeking more control over their insurance costs.
Please reach out to us to learn more about the advantages of the captive insurance model and whether it’s right for your company.
Bryan Cox
