A captive insurance company is a licensed entity formed to insure your own business risks. Instead of paying premiums to a traditional insurer (and losing them year after year), companies use captives to:

• Turn insurance expenses into a strategic asset
• Retain underwriting profits
• Gain greater control over claims and coverage
• Access reinsurance markets directly
• Increase overall enterprise value through smarter risk financing

Captives are not a fit for every business, but for companies with at least $250K in annual premium and a stable loss history, they’ve become a powerful tool for building financial strength and stability—especially in a hard insurance market.

If this is something you or your team are exploring, grab time on our calendar here:https://calendly.com/tdefede-unionrisk/30min

Recent Wins:

• School Bus Operator: Moved $1M of annual premium into a captive, retaining $500K of underwriting profit while improving cash flow.

• Paving Company: Shifted from $8M traditional premium to a $6M captive structure, cutting costs and increasing reserve flexibility.

• Private Sanitation & Recycling Firm: $3M in premium placed into a group captive, reducing per-unit cost from $40K to $17K and improving risk transparency.

• Ambulance Company: With $100M+ in revenue and $500K in weekly payroll, this client used a captive to gain better control over auto liability and workers’ comp exposures.

• Construction Client – Multi-State, $650M Revenue: Transitioned to a captive model to stabilize pricing and preserve risk capital across 16 states of operation.