Captive Insurance Companies

A captive insurance company (CIC) is an insurance company that insures the risks of a single company or a small group of companies.  The owners of the CIC are usually the owners of the companies being insured by the CIC but can be owned by other people or trusts to accomplish estate planning and asset protection goals as well.  A CIC is a real insurance company licensed in a jurisdiction that is favorable to the regulation and expense of operating a CIC. 

Typically business owners buy insurance or self-insure. For an operating business that self-insures many risks every day, a Captive Insurance Company can address these risks in a manner that saves substantial income taxes and adds to the bottom line.