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Knowledge is power. That’s why we’re always looking to educate business owners on the best practice when it comes to Captive Management. But we also want to give you the resources you need to guide you through the risk management process. In the CIC Services Knowledge Center, you can:
- Read about CIC in the news
- Learn about industry standards
- Stay up-to-date on upcoming events
Explore these resources and equip yourself for the future!
How To Tell A Good Captive Insurance Company From A Sham – Part 5
By: Sean King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC Question: Is it reasonable and legitimate for policy premiums paid to a captive insurance company to be higher than typical premiums paid for “similar” commercial insurance? A typical attack leveled by the I.R.S. against captive insurance companies to suggest evidence of a sham transaction is that the […]
How to Tell a Good Captive Insurance Company from a Sham—Part 4
By Sean King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC Question: Is a captive insurance company a sham if it was introduced to a business owner by a financial advisor? This week, I am continuing my series about distinguishing legitimate captive insurance arrangements from shams. Remember, there is growing concern among […]
How to Tell a Good Captive Insurance Company from a Sham—Part 3
By: Sean King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC If a captive insurance company does not replace third party commercial coverage, is it evidence of a sham? The short answer is an emphatic “no!” To suggest so would require complete ignorance
How to Tell a Good Captive Insurance Company from a Sham—Part 2
By Sean G. King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC Does a low claims history necessarily mean that future premium rates should be lowered? Last week, I began a series on identifying legitimate and sham captive insurance company arrangements. This series of articles is important because there is much misinformation and […]
How to Tell a Good Captive Insurance Company from a Sham—Part 1
By Sean G. King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC There is growing concern among regulators, the IRS, and captive insurance professionals that too many captive insurance companies, especially the small 831(b) variety, lack economic substance—that is, that they are shams constructed for the purpose of avoiding taxes rather than for […]
Captivating Thinking
Knowledge is power. That’s why we’re always looking to educate business owners on the best practice when it comes to Captive Management. But we also want to give you the resources you need to guide you through the risk management process. In the CIC Services Knowledge Center, you can:
- Read about CIC in the news
- Learn about industry standards
- Stay up-to-date on upcoming events
Explore these resources and equip yourself for the future!
How To Tell A Good Captive Insurance Company From A Sham – Part 5
By: Sean King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC Question: Is it reasonable and legitimate for policy premiums paid to a captive insurance company to be higher than typical premiums paid for “similar” commercial insurance? A typical attack leveled by the I.R.S. against captive insurance companies to suggest evidence of a sham transaction is that the […]
How to Tell a Good Captive Insurance Company from a Sham—Part 4
By Sean King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC Question: Is a captive insurance company a sham if it was introduced to a business owner by a financial advisor? This week, I am continuing my series about distinguishing legitimate captive insurance arrangements from shams. Remember, there is growing concern among […]
How to Tell a Good Captive Insurance Company from a Sham—Part 3
By: Sean King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC If a captive insurance company does not replace third party commercial coverage, is it evidence of a sham? The short answer is an emphatic “no!” To suggest so would require complete ignorance
How to Tell a Good Captive Insurance Company from a Sham—Part 2
By Sean G. King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC Does a low claims history necessarily mean that future premium rates should be lowered? Last week, I began a series on identifying legitimate and sham captive insurance company arrangements. This series of articles is important because there is much misinformation and […]
How to Tell a Good Captive Insurance Company from a Sham—Part 1
By Sean G. King, JD, CPA, MAcc Principal & In-House Counsel, CIC Services, LLC There is growing concern among regulators, the IRS, and captive insurance professionals that too many captive insurance companies, especially the small 831(b) variety, lack economic substance—that is, that they are shams constructed for the purpose of avoiding taxes rather than for […]
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