It was November 2021. My wife and I walked into the doctor’s office for our first ultrasound hoping to see a healthy baby’s heartbeat. We were excited to welcome a little brother or sister for our nearly one-year old son, Fitzpatrick. We got a big surprise when we immediately saw TWO heartbeats and TWO healthy babies on the screen in front of us. After my wife and I spent the next 24 hours laughing deliriously, it struck me that we had a lot to prepare for in the coming months.
Similarly, a company who has spent their entire existence in the standard insurance market may feel overwhelmed with the preparation required to join a group captive. Whichever road you are on, I am here to ease your anxiety.
Preparing for an Insurance Captive
Both group captives and birthing twins are completely unique concepts that take time to digest. While having one baby is a huge life adjustment, just 3.2% of births in the United States are twins. Likewise, only 4% of businesses in the US are large enough for a property casualty group captive, and even fewer of those companies have the risk management track record to qualify for a captive.
Making sure your business is captive ready is similar to preparing a home for two babies. When preparing for twins you need a nursery with two cribs, a specialty stroller, and two car seats in the minivan that you never thought you would be driving. All while navigating the 2022 formula crisis.
Preparation for the captive, although not quite as cute, requires just as much focus and dedicated time. Companies that make a great property casualty captive fit spend years improving their safety programs and reducing claims to prepare themselves for the risk/reward opportunity the insurance captive can provide.
The Work Is Worth the Reward
Anyone who has children knows that it takes a lot of TLC and resources to mold them into successful, caring adults. From diapers to daycare costs, having three kids under two years old is a huge commitment.
With property casualty group captives, collateralization and capitalization are larger upfront financial investments that are required with membership (and cause a lot less sleepless nights). Long-term, the commitment up front is well worth the many rewards a captive can bring to a business.
- Control: Captive insurance gives employers ownership over one of their largest business expenses, control over their annual premium spend, and control over how their dollars are allocated within the captive.
- Stability: Captive insurance insulates members from market volatility, keeping premiums more consistent and stable.
- Opportunity: Captive insurance provides business owners the opportunity to improve their companies by recouping the underwriting profits.
When it comes to being a parent, the greatest reward is developing that relationship with your children. With twins, I get to enjoy TWICE as much love, laughs and cuddles.
In a group captive, the biggest benefit is developing relationships with fellow captive members. Besides just providing support, our Risk Control Workshops and Board of Directors Meetings provide an ample space for networking and sharing best practices. Other companies may have implemented safety initiatives that you haven’t even thought of. Knowledge is power and making business better is what we do best with ICS group captives.
Find a Group Captive Supportive Partner
One of the biggest challenges when preparing for twins is trying to navigate how to parent two babies and a toddler at once. Fortunately, at ICS, we have plenty of people who have experience in this department: ICS President, Tom Stewart and Sr. Investment Analyst, Bill Bemis are both parents to sets of twins. Assistant Program Manager, Brittany Mousel is a twin and Program Manager, Grace Maloney is a triplet!
Support is a big part of property casualty group captives as well. When members meet annually for Risk Control Workshops and Board of Directors Meetings, captive experts provide business owners with resources and expert information to help improve their companies and workplace culture. It also goes without saying that the workshops and Board Meetings are a lot more fun than large family vacations with toddlers.
Joining a group captive is a big change, yet an exciting business decision. There is work involved, but all great things require a little work. Ready to get to work? Reach out to us today!
As I prepare for the work involved in raising two additional tiny humans, I look forward to all the rewards of being a dad of twins.