Captive insurance programs are an alternative to traditional fixed-cost insurance products.

Captive insurance programs grant employers the ability to retain the profits normally assumed by the insurance carrier. These programs ca...
See More n take the form of either a single parent captive that is utilized by a single employer, or a group, or member owned, captive that is shared by two or more unrelated employers.
The key advantages of a captive insurance program are reduced insurance costs, greater control, and greater flexibility in choosing service partners.
Captive insurance programs can be more expensive if losses exceed expectations. Therefore, captive programs
are typically advantageous when an employer is:
1. Able to control or reduce losses through proactive management
2. Financially strong
3. Entrepreneurial, with long term goals
Under these circumstances, the ultimate cost is generally lower.