Tax Preparation
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Captives
What are Captives?
An alternative to self-insurance, this form of insurance features a parent group creating a licensed insurance company that provides coverage for itself.
What are the advantages of Captives?
Captive Insurance Companies can be an attractive strategy for a number of reasons. For example: Captives offer reduced premium costs, insure against difficult risks, are better able to meet specific needs, give direct access to reinsurance, and provide tax advantages. Additionally, the parent company, is able to deduct premiums paid to the Captive on its income tax return.
Who qualifies & why should you adopt?
Certain businesses, sole proprietor, or professionally-licensed individual aiming to either optimize their dollars spent on insurance and/or maximize their coverage flexibility can Captive insurance.