Step-by-step guide on establishing your captive insurance entity, from assessment to licensing.
After selecting your team of professionals and choosing a suitable domicile, you're on the path to captive ownership. Here's a general overview of what to expect next:
Formation:
An independent third-party risk management company conducts a Risk Assessment of your business.
An Underwriting and Actuarial Review is performed, leading to the creation of a Suggested Coverage Summary (including policy pricing), along with a Feasibility Study and Business Plan for your captive.
An Application Package is prepared and submitted to the Domicile Regulators.
Legal formation takes place in the chosen jurisdiction.
Licensure is granted by the Domicile Regulators once capitalization requirements are met.
Policies are issued, and premiums are paid to your captive.
The typical timeline for the formation process is 2 to 3 months.
