A captive insurance company is a formalized form of self-insurance with the specific objective of insuring risks emanating from their insured/sponsor group (or groups) and in some instances the risks of the group's customers. The captive insurance company's insureds have direct involvement and influence over the captive's major operations, including underwriting, claims management and investment policy.
Forming a captive insurance company is an alternate form of risk management by which companies have more control over how they are insured.
The State of Tennessee recently adopted legislation establishing Tennessee as an onshore domicile for captive insurance companies. If your goals could be advanced by the formation of a Captive Insurance Company, we stand ready to support you throughout this process.