Strategy of Using Multiple Captives

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February 17, 2016

Forming and using multiple captive insurance companies can help an organization achieve tax-deductibility. In addition, using multiple captive insurance companies can provide a means of organizing exposures and risk according to coverage type focus. John S. Alberici, of Alberici Corporation, explains placement of coverages into a captive in terms of the coverage type focus being strategic or tactical. Adding another focus layer for placement differentiation, Mr. Alberici speaks of delineating coverage between captives relative to a coverage's frequency and severity profile.

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February 17, 2016