All Benefits And No Risks With Rent A Captive

All Benefits And No Risks With Rent A Captive

A rental captive is a captive insurance company that can be used or “rented” by unrelated insured. It allows insured to gain the benefits of a captive insurance arrangement without actually participating in the captive insurance company’s ownership or management. Rental captives can be structured to allow risk sharing among the participants or with no risk sharing at all. Where there is no risk sharing, participation in a rental captive facility can be similar to purchasing insurance from a commercial insurer. The sponsor contributes the captive’s statutory capital. Generally, the…

Read More