Captives have been around for decades, and there are multiple ways they can be leveraged and structured to benefit an entity. Cardinal Captive Solutions has the ability to explore various captive structures and make recommendations based on an entity’s risk tolerance, industry, exposure, historical experience, and goals.

Our tailored approach takes into account the captive’s domicile, our strategic partners, and available captive structures, so we’re able to find a long-term fit for each client that delivers the full benefits a captive can offer.

SINGLE PARENT OR PURE CAPTIVE

In general terms, a single entity, such as a business, owns the insurance company that insures that business. Single-parent captives are the most prevalent type of captive and have been around for more than 50 years.

CASUALTY GROUP CAPTIVE

A group of like-minded companies participate in a captive together and share risk. This group often involves a corporate structure with more than one share class. The benefit of a group captive is the sharing of best practices in order to keep workers safe and drive efficient processes. Group captives also allow for greater risk retention because entities pool resources—safety, risk control, and claims.

BROKER OR ASSOCIATION CAPTIVE

The broker or a professional association has established the structure for a captive for their clients to participate in. This type of captive leverages the expertise of a broker or association within a trade or class of business, which generally yields a deep and comprehensive understanding of member needs.

CELL CAPTIVE

Also called a sponsored captive, this captive is a kind of parent structure in which other captives are created and housed. The sponsor captive–an existing insurer or parent captive–is responsible for ensuring that each cell complies with regulations. All lines of coverage can be written in a cell structure, though not all sponsored captives write all lines of coverage, as it is determined by agreement among risk-sharing partners in the captive.

Cardinal Captive Strategies uses cell captives to address unique or specialized exposures, such as subcontractor default and property, with the ability to consider OCIP/CCIP.