Captives
Captive insurance companies are insurance companies established with the specific
objective of financing risks emanating from their parent group or groups. As a method
for which risk can be managed, The Strauss Law Firm designs and implements captive
insurance solutions for clients with business interests. Using a captive insurer
allows a business to finance its retained losses in a formal structure.
Captive insurance is essentially an "in-house" insurance company with a limited
purpose and is not available to the general public. It is an alternative form of
risk management that is becoming a more practical and popular means through which
companies can protect themselves financially while having more control over how
they are insured.
Utilizing Captives offers a number of commercial advantages for business owners
to provide a better risk management than results from the conventional insurance
market including, the reduction or stabilization of costs, preferred accounting
methods, tax deductions, claims management and profit retention.
With "in-house" insurance, red tape and bureaucracy often associated with traditional
insurance providers, is minimized. The parent company can dictate the procedure
by which claims are processed. Perhaps one of the biggest benefits is that excess
net premiums can be recouped by the parent company when claims are low, and they
can increase reinsurance in riskier areas.
The Strauss Law Firm utilizes both domestic and international domiciles for its
captive insurance planning.