Savannah Captive Insurance
Sign Up for the Captivating Thinking Newsletter
Game-Changing Financial Vehicle for Business Owners and CFOs
CIC Services LLC has been helping businesses in Savannah, GA avoid being underinsured while simultaneously increasing their wealth since 2005.
Most small and medium size businesses are underinsured. Today, businesses face far greater risks than similar businesses faced in the past. In addition to common risks like theft, fire and general liability, there are a host of other risks that businesses face that are specific to their industry and exacerbated by shifts in technology, regulations and the legal system.
Lawsuits are far more common in the current business climate, and lawsuits can come from both outside or inside a company. Businesses face more and more regulations, and it’s not uncommon to read a news article about a business crippled or closed down by regulators. Many businesses today also face cyber risks and threats to data security and IT systems. As if that isn’t enough, terrorism in the U.S. now poses a legitimate threat to businesses. And, many of these “new” risks are not covered by typical third party insurance policies. These types of coverage often require additional policies that are often very expensive.
What Is A Captive Insurance Company?
A captive is a unique but REAL casualty insurance company. It includes its own corporation, insurance license, reserves, policies, policyholders, and claims. It is a formal way for business owners to self-insure, and captives are generally formed to insure the risks of owners and related or affiliated third parties.
There are many risks that all businesses regularly face and informally self-insure. It’s worth noting that businesses informally self-insure with after-tax dollars, meaning that a businesses’ “rainy day fund” is usually comprised of retained earnings that have already been taxed. With a captive in place, businesses can formally insure risks not normally insured by third party insurers.