Captive Insurance Companies
A Captive Insurance Company (or simply a Captive) is an insurer that is formed as a subsidiary of its parent company, organization, or group, for the purpose of writing all or part of the insurance on the parent company or companies.
Three factors have contributed to the growth of captives in recent years viz., low insurance cost, insurance availability, and improved cash flow.
Reinsurance Companies
Reinsurance is a type of insurance in which one insurer transfers some or all of the loss exposures from policies written for its insureds to another insurer.
In reinsurance, the primary insurer is the insurance company that transfers its loss exposures to another insurer in a contractual arrangement.
A reinsurer is the insurance company that accepts the loss exposures of the primary insurer.
Who Provides Insurance
