Many businesses have insurance needs that simply cannot be met through traditional insurance coverage options. It may be due to the risks that are associated with the business, but that does not mean the business should be forced to manage their risks alone. The use of single parent captive solutions has proved to be an excellent insurance option for businesses that fit this profile. Single parent captives are one of the most popular options available on the market today, as they provide extensive coverage to businesses that face significant risks.
Captive Solutions Offer a Number of Significant Benefits
There are a number of benefits for companies using these solutions in lieu of or in conjunction with traditional insurance offerings, including:
- Minimal insurance costs
- Greater revenue flow
- Increased risk management and control
- Accumulation of wealth
The cost of insurance is reduced due to the fact that these solutions allow businesses to purchase their insurance according to need, while also increasing the retention of premium expenditures, income from investments, and tax benefits. These solutions also give the company increased control of claims, greater capacity and coverage, and incentives for the control of losses. The benefits of utilizing solutions of this nature are many, and companies that are faced with difficulties in acquiring insurance due to their relatively high risks should strongly consider single parent captive solutions as an option.