Businesses with effective risk management processes often pay exactly the same expensive premiums as those without. When a claim arises, the traditional insurer controls your legal efforts, your settlement and the claim's final cost - often without considering its validity or any potential damage to your company's reputation. In addition 40% of your commercial premium dollar goes to insurer expenses and profits.



Captive Benefits

A Captive Insurance Company is a private insurance company designed to insure the risk of an owners' business entities, giving much greater control over premium budgeting, cash flow and loss settlement - while building a tax efficient investment fund.



Cash flow improvements are achieved in a number of ways.

•    A focus on risk management, safety and loss control inherently offers financial reward.
•    Successful loss control results in underwriting profits
•    Invested premiums result in investment gains
•    Reducing expense factors by more than 25% can save significant cash
•    Premium tax deductions can be substantial



With a captive, business owners can:

•  Fund selected self-insured risks
•  Eliminate commercial insurer high expense loads
•  Transfer high risks to traditional insurers
•  Leverage government-provided tax incentives
•  Build tax-deferred resources to fund growth

Setting up a captive insurance company can involve layers of complexity. That's why business owners turn to Captive Alternatives for help in creating and managing the innovative Protected Captive™.



Why CapAlt®?

Today, CapAlt manages more than 130 Protected Captive insurance companies. Due its unique Puerto Rico insurance structure, CapAlt can build a new Protected Captive in weeks rather than months.

• CapAlt® follows a time-tested traditional insurance structure with an insurance company issuing policies to the insured, and then ceding reinsurance to the captive structure.

• Underwriting and Pricing is done through a Professional Actuarial firm. Captive financial statements are prepared by an external CPA firm.

• CapAlt® operates a sophisticated Protected Captive banking structure and works closely with Morgan Stanley, and other premium brands, to provide banking services.

• The CapAlt® program is set up in Puerto Rico under innovative International Insurer rules. It offers a number of alternative captive structures such as the Sec 831(b), and the Puerto Rico International Insurer model.

• The CFO of CapAlt® has been working with captive insurance for 30 plus years, including managing a portfolio of Big Pharma international captives and serving as a Divisional CFO with Zurich Insurance. He is also a former B2B CFO®.