Key Factors To Consider When Establishing A Captive Insurance Company

In part two of this three-part series shining a spotlight on captive insurance companies, Managing Director - Bermuda, Alison Dyer identifies the key elements required to establish an effective captive.

Part one: Key benefits of establishing a captive insurance company

A properly designed and integrated captive solution can be a significant advantage to the captive owner and can become a profitable undertaking. Many options are available to tailor a captive to the owner's needs but optimisation of the captive may be constrained by factors related to its licence, including the type of business allowed, minimum capital and reserve requirements. This is a great example of why choosing the most suitable domicile and licence is important and we will approach this in part three of the series.