Fiona Le Poidevin of Guernsey Finance looks at why
captive insurance is becoming more common in Latin America and what
makes Guernsey a suitable captive insurance domicile.
The use of captives as a risk management tool is becoming
increasingly common in Latin America.
Sophisticated Latin American businesses now recognise that a
well-structured and managed captive – which in its purest
form is set up by its owners to insure the risks of its parent
and/or fellow subsidiaries – can provide a wide range of
benefits to a company not commonly obtained through the commercial
market. Furthermore, it is worth pointing out that captive
insurance is not only used by the larger public companies but also
by small and mid-tier private organisations.
