Captive Solutions

You’ve got a captive and you are looking for an exit strategy?

Many of these techniques and services underpin and support the broader service offering within AGRC’s Risk Financing and ERM project teams.

Captive Audit and Strategic Review: AGRC assists clients in the audit of existing captives in order to realign their strategy with the mother company or to set up multi-domiciles solutions to optimise the use of the captive solution. To achieve this, we have developed a tool for analysis and simulation which can generate various business plans for the captive and then compares its added value to other types of risk financing solutions.

Captive Exit Strategies: Any (re-)insurance captive owner could wish to have a clear strategy on how to possibly exit its (re-)insurance captive once needed. Various solutions can be considered and some of them are quite obvious such as to carry out loss portfolio transfers and to liquidate the (re-)insurance company. However this approach is rarely optimal and more sophisticated solutions can be structured such as transferring additional risks with a different profile into the captive with a view to make use of the underwriting capacity. Some domiciles also offer specific solutions such as Luxembourg which offers an active market for selling captives. Finally structured finance solutions can be implemented to optimize the exit strategy by integrating the captive within a group of financial vehicles.