The ICS Difference: Everybody Benefits with Captive Insurance
There are reasons that businesses are opting out of traditional insurance and looking for alternative options. Whether it’s frustration with the traditional insurance market pricing, lack of stability over a large business expense, little transparency from leading insurance carriers or a lack of control, there are many pain points causing traditional insurance to become a thing of the past.
The Problem with Traditional Insurance
In the traditional marketplace, clients are “renting” insurance from large carriers. The insurance company charges you a premium and then reaps the benefits of your positive claims performance. The insurance company maintains this control and opportunity, *** leaving you often paying for someone else’s mistakes in the form of a premium increase. ***
Captive Insurance is Changing the Game
Signing up for group captive insurance allows clients to “OWN” their insurance. Utilizing this alternative funding arrangement provides more options for employers looking to change the game and gain the control they deserve. *** Our clients see more control in premium costs, long-term financial stability, transparency and an opportunity to retain premium dollars. ***
What are the benefits of captive insurance?
Captive insurance options let you take back control over your business’ assets. Instead of relying on traditional insurance plans, you have more authority to make coverage decisions that are tailored to your company and its needs.
There are many benefits of captive insurance, but ICS believes the main advantages are covered in the Rule of Three. Our captives are created with a focus on three areas:
Control
Captive insurance gives employers ownership over one of their largest business expenses. In the traditional insurance market, you are already in a pool, sharing risk with other companies. You are just unaware of who you are sharing risk with and how much. Captive insurance handpicks best-in-class companies, providing you a cleaner pool of like-minded employers.
By joining a group captive and partnering with like-minded employers, a community is created. Sharing best practices, learning from others and navigating your businesses together are all additional benefits of joining a group captive.
Captive members are involved in the claim handling policies and procedures, allowing them greater transparency and communication. The traditional insurance companies no longer call the shots —captive members have the control!
*** Ownership. Transparency. Communication. ***
Stability
Captive insurance is a long-term business strategy. When joining an ICS captive, members are insulated from market volatility, keeping premiums more consistent and stable. Group captive insurance members have the ability to benefit in their positive claims performance years, yet have stability in those years where “bad luck” and tough claims inevitably occur.
By being part of a cleaner pool and sharing risk with other companies, employers can achieve a greater spread of risk, greater credibility and predictability over traditional insurance.
*** Consistency. Credibility. Predictability. ***
Opportunity
Whether you are a part of our employee benefits, property casualty, or a different alternative risk captive program, there are numerous opportunities to better your business. Captives allow for underwriting profit, making a company’s insurance strategy an opportunity vs. an expense.
In addition to the financial return, businesses with group captive insurance improve company culture by enhancing engagement, workplace safety and/or health and wellness initiatives.
*** Profit. Culture. Engagement. ***
The ICS Difference in Captive Insurance: Better is Better
At ICS, we don’t believe bigger is better. We believe BETTER is better. That means, creating smaller, member-owned captives, with higher engagement and better outcomes for our captive members. With many other captive insurance programs, captives are built with hundreds of members (or more) and are often controlled by the captive manager. We believe smaller group captives create a more personal, interactive, transparent and collaborative experience, giving the control back to the owners—the employer.
If you’re looking for an alternative to traditional insurance that will benefit your business and put the control back in your court, we’d like to discuss group captive insurance options with you! Our industry experts will help you find a cleaner pool of like-minded businesses to spread the risk and provide a more stable ground for your company to stand on. Contact ICS to get started towards a future with greater opportunities through captive insurance.