Captive Management
Tailored solutions across global markets
At Davies, we understand the unique challenges and opportunities that come with managing a captive insurance company. Our global ranked captive management business is designed to empower your organisation with comprehensive, tailored solutions that address your specific insurance needs. Whether you’re exploring the benefits of a captive for the first time or looking to optimise an existing structure, our expert team is here to guide you every step of the way.
Captive Management
Expertise that transcends borders
Our journey began over 40 years ago in Bermuda, and since then, we have expanded our footprint to include Europe, the U.S., Latin America, Canada, Asia, Guernsey, Australasia, and the UK. Our extensive experience and network of industry contacts enable us to create optimal solutions for our clients, whether through captive or rent-a-captive/segregated account models. We navigate the complexities of risk retention, ensuring that your insurance program is as efficient and effective as possible.
Navigating partnerships with industry leaders
A critical component of our captive management services is our ability to assist clients in finding fronting and reinsurance partners, as well as leading third-party service providers. Our industry expertise allows us to connect you with claims providers, actuaries, letter of credit and trust providers, investment advisors, bankers, and legal advisors. This holistic approach ensures that every aspect of your insurance program is supported by top-tier professionals, maximising the potential for success.
Our solutions
Rent-a-Captive solutions
A rent-a-captive facility allows a client to ‘rent’ the license of a registered insurer to underwrite its own insurance business, offering a range of benefits including segregated accounts, underwriting profits determined by own loss experience, and ease of entry and exit, without the expenses of a wholly owned subsidiary. Our team at Davies can facilitate the establishment of a rent-a-captive solution that meets your requirements, ensuring all risks are fully collateralised, delivering a cost-effective and efficient risk financing strategy.
Captive solutions
The formation of a captive is a prominent solution for those seeking a licensed insurance entity regulated by a reputable local authority. Working with Davies, clients can prepare and submit a comprehensive application, including a detailed business plan and financial projections. Our regulated Insurance Manager streamlines the process of company licensing and formation, significantly reducing legal costs and guiding the application to successful approval. This option allows for the creation of a fully licensed insurance company, offering bespoke insurance solutions tailored to your specific needs.
Comprehensive programme design and support
Our commitment to delivering tailored solutions extends to our comprehensive program design and support services. We conduct in-depth feasibility analyses, leveraging our team of professional consultants to advise on structure, financing, and regulatory requirements. By coordinating the efforts of service providers, we streamline the application process, ensuring efficient submission and approval by regulators. From initial setup to operational management, Davies manages all necessary steps to ensure your captive or rent-a-captive facility is successful.
Reinsurance solutions: Leveraging global markets
Davies’ access to the Reinsurance Market, along with our strategic alliances and broking capabilities, empowers us to provide reinsurance coverage that is perfectly tailored to your needs. Our expertise ensures you receive the best coverage at the most competitive price, highlighting our commitment to your captive program’s success.
The Captive Syndicate at Lloyd’s
Our Lloyd’s Managing Agent, Asta, has extensive experience in launching and managing a variety of businesses at Lloyd’s. This provides a unique range of expertise and services to both new and established captive owners and their managers. Offering licensed paper, reduced reliance on fronting partners, and competitive fees, the Captive Syndicate represents an effective alternative for captive owners to diversify their risk financing, reduce collateral requirements, and minimise costs.
MGA focused risk-taking entities
MGA-focused risk-taking entities allow MGAs to participate in the risks they originate alongside existing capacity providers, creating stronger alignment of interests between the MGA and its capacity partners. Through our licensed insurance entities, we can establish cost-effective insurance vehicles that enable MGAs to share in underwriting profits while supporting long-term growth and sustainability. Our team at Davies can structure and implement a solution tailored to your business objectives, providing an efficient and commercially attractive framework for risk participation.
Why Partner with Davies for Captive Management?
Choosing Davies for your captive management needs not only provides you with access to our comprehensive suite of services but also offers a range of benefits designed to enhance your insurance program’s success and operational efficiency:
Speed to market: Streamlined start-up processes and regulatory submissions fast-track the operational readiness of your insurance program.
Cost efficiency: Access to managed services and strategic partnerships reduces operational costs and optimises financial performance.
Risk management: Expert risk assessment and management services ensure that your insurance program is both efficient and effective, minimising exposure and maximising returns.
Strategic growth support: Support for international expansion through global licensing and the establishment of a captive syndicate at Lloyd’s or offshore captive insurers, facilitating broader risk coverage.
Expertise and professional support: Benefit from Davies’ unparalleled knowledge and experience in the captive insurance sector, including expert staff and a comprehensive suite of support services.
Strategic partnership: More than a service provider, Davies acts as a strategic partner, offering tailored solutions and expert support throughout the lifecycle of your captive business, ensuring long-term success and value maximisation.
