Captive Insurance
Take a look at some of the largest corporations that you could think of in
America. We have New York Times Company, CBS Corporation, Exxon-Mobile, and
many other mega-corporations in the US that are leading their industry in various
aspects.1 At a glance it is quite easy to see that they all operate in different sectors and
accomplish different goals. Now I ask, what do all of these large companies have in
common? What makes them similar in some respect? The answer is quite simple
when we examine their use of captive insurance as a way to mitigate risk at a higher
profit. With captive insurance, companies have the ability to exercise the true
meaning of “self-insurance.” For over three decades, the use of captive markets has
begun to increase, due in part to the fact that many of these corporations understand
the benefits of such a market. From my knowledge on captives and the way they are
operated, I will give you an in-depth analysis on what they provide. We will
understand the history of captive markets, their particular use and placement in the
