Released last week at the 2014 RIMS Annual meeting, the Marsh report contains a lot of interesting information regarding captives. Some of the benchmarks included were:
- 66% of the total captive count are single parent captives
- Of the captives treated as insurance companies for tax purposes, 47% use a “brother/sister” approach, 42% use third party risk, and 11% use a hybrid of the two approaches.
- Of the non-traditional coverages written in captives, crime insurance tops the writings, with medical stop loss or another layer of a self insured health plan also growing in popularity.
See the press release and article here:
“Majority of US-Owned Captives Not Generating Tax Benefits: Marsh”- Article written by Marsh on Tuesday, April 29, 2014, Article posted by The Wall Street Journal on Tuesday, April 29, 2014
And the full report: “The Evolution of Captives: 50 Years Later” by Marsh USA published April 29, 2014: