Captive Insurance

What is a Captive?

A business created by a parent company to provide tailor-made policies for the latter and its group (or affiliates)

Traditional Insurance v/s Captive Insurance

CAPTIVE TRADITIONAL
Premium paid to the captive is used and invested if no claim has been made; possibility to make profits Whole premium paid to insurer is never obtained back, even if there has been no claim
Covers specific risks experienced by the parent co. and its affiliates Covers general, “mainstream” risks

Why incorporate CICs?

Feasibility Study

It is a study/research prepared by the applicant to show whether it will be worthwhile for the Captive Insurance Co. to be set up in Mauritius  and what will be the possible areas that it will cover.

Contents:

  • Objectives of Parent Co. and its current risk exposure
  • Current Claim Ratio of Parent Co., supported numerically and otherwise
  • Specific roles of the Captive Insurance Co.
  • How its incorporation and management will benefit the Parent Co.
  • Where will the Captive be located and its advantages of locating there
  • Forecasts of the costs/expenses to be made to incorporate the Captive Insurance Co. and early management
  • How will any “surplus earnings” be used by the Captive and under what circumstances
  • Our legal system has established a framework to permit CICs to be set up and managed in Mauritius.
  • They are currently regulated by The Captive Insurance Act 2015 and The Insurance Act 2005.

What do we do?

Here at TIL, we offer you the following bespoke services:

Taking care of the incorporation process by drafting and filing the required documents to the FSC and The Registrar of Companies (Incorporation forms, business plan, , constitution, etc)

Undertaking the responsibility for the ongoing management of the Captive including underwriting as per the directors’ policy and administration of the insurance/reinsurance program, preparation of the policy documents and handling and settlement of the claims.

Handling the payment and receipt of the premiums, administration of the operating accounts and cash management and investments in compliance with the Captive’s policy and constitution Ensuring that all the CIC’s records are properly kept and duly reported to the parties concerned and the relevant documents are updated after each board meeting.

We will help you to affiliate with the regulator and high profile and experienced professionals as auditors, underwriting agents, reinsurers, brokers, auditors and so on so that you will be assisted in the best way possible while managing your CIC.

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