Why Your Mid-Market Business Should Be Captivated by Captive Insurance


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Every entrepreneur dream of growing their small business into a mega-corporation. The reality is that only a handful achieve this dream. Most fail.

Your company might not have gotten into the level of a big corporation, but as a mid-market business, it’s clear you’ve done a good job. Thumbs up!

There are many hurdles you’ve had to cross to get this far, and several big decisions you’ve had to make. However, of all the things you’ve done, managing risk is arguably the most important.

Now it’s time to take your risk management to the next level by getting captive insurance. In this article, we are telling you how this form of insurance will benefit your business.

Bring Down Your Insurance Costs

As a mid-market business owner, you’re probably losing sleep over your insurance costs that are threatening to go out of control. This is because as your business grows, your risks increase, as you do your coverage needs.

What steps are you taking to reduce your insurance costs?

There are a number of moves you can make, but embracing captive insurance is by far the most effective.

You see, captive insurance involves setting up an insurance company that’s wholly owned by your organization. Being the owner, you’ve got greater control over the pricing of the premiums. With a captive insurance company, you can cut your insurance costs by as much as 50 percent.

In addition to this, captive insurance is an ideal way to reduce your overall operating costs and even improve cash flow.

Get Greater Coverage

Have you ever gone to purchase a certain type of policy only to discover that there isn’t a plan that meets your needs? If you answered yes, it’s high time you embraced captive insurance.

Most commercial insurance companies offer traditional commercial insurance policies. If you need something out of the ordinary, you’re going to be disappointed. And even if you find the policy you’re looking for, the cost of the premiums will be sky-high.

But when you have a captive insurance company, nothing stops you from getting any kind of coverage you need. Since you control the company, you can create policies that are customized to the needs of your organization.

Improved Handling of Claims

Purchasing commercial insurance is easy. The same cannot be said for when you’re pursuing a claim.

Most insurance companies like to play hardball, which means claims aren’t settled on time and for the right amount. This can be frustrating. You pay your premiums on time, so you expect your insurance coverage provider to reciprocate when needed.

If you don’t want to haggle over claims with an insurance company, why not set up a captive insurance firm? You control everything, which means there is improved handling of claims.

Your Mid-Market Business Needs Captive Insurance

As a mid-market business, you have the funds to set up a captive insurance company and reap the benefits. Don’t be held captive by commercial insurance firms. Make the move.

Explore our blog for more business advice and insights.


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