When a business opportunity is labeled ‘exciting’ or ‘dynamic,’ most savvy executives take notice. In 2022, captive insurance is getting this recognition. In fact, Risk & Insurance Magazine recently reported that this type of commercial coverage is seeing record number of formations across the country. Why? Some point to a ‘new resiliency’ among insureds. These companies—big and small—want more control of their financial futures. They have more interest. And they’re willing to assume and mitigate more risk if they have more input into their choices. The natural pathway for them is captives, and industry leader eMaxx is delivering these alternative and innovative solutions to partners nationwide.
What’s heartening for this industry is that in the past several years, not only the Fortune 1000 companies, but the smaller and mid-sized firms are taking advantage of these programs, which are outperforming the traditional market and are proving their viability, even in an unpredictable economy. Because of their innovation and entrepreneurial roots, these programs are natural magnets for companies looking to make their insurance and risk management program an actual profit center.
Policyholder-owned captives, however, are more than a growing trend. They are the future, and eMaxx captive insurance arrangements are already there. The allure to self-insure may at first seem simple to companies venturing into these arrangements by themselves. But they may quickly learn that trusted advisors are critical to ensure that a program follows state and federal regulations and uses the most up-to-date technology. This is especially important for niche markets such as energy, waste and recycling, construction, crane & rigging, transportation, towing and utilities. These programs reach past geographical boundaries—garbage collection in cities, farm to market hauling and roadside assistance on an interstate highway. In each of these areas and in each of these industries, a customized eMaxx captive insurance solution is available.
What are the advantages? Because members have invested in their own insurance, they receive underwriting profits and dividend returns. This investment incomes accumulates to the benefit of the members. These members are viewed as partners; they manage their own program by participating on a board of directors and on one or more governing committees. eMaxx captive insurance also offers a reduction of operating costs and insurance costs with favorable loss experience. Ultimately, this is comforting insulation from large premium fluctuations.
Tailored coverages are available for commercial auto, workers comp and general liability. Moreover, members have extensive access day and night to claims management and loss prevention and safety programs, as well as web-based educational and training platforms. A top-flight team of professionals takes care of implementing state-of-the-art risk management technology programs such as dash cams and telematics to ensure that members are mitigating the threat of fraudulent claims. Nationwide eMaxx captive program members have seen a reduction in frequency and severity of claim outcomes with a 46% reduction in existing programs.
Improve your cash flow, reduce your operating costs and maximize your investment income to fund your losses. Forge a dynamic partnership with eMaxx and take control of your financial destiny today.
