Rising employee benefit costs, growing employee populations and market pressure to provide competitive benefits are all contributing factors to why employers are exploring and developing captive insurance programs to write their employee benefit programs.
Some common benefits cited by captive owners covering benefit risks include economic cost savings, improved cash flows, greater control over coverage terms and claims management, expanded capital capacity through broadened access to reinsurance, and improved coordination between risk management and human resources.
Certain conditions must be met to cover qualified ERISA regulated benefits including seasoning requirements, an -A- rated fronting carrier, and enhanced participant benefits, among others. Common employee benefits programs cited include employee group term and universal life, long term disability, retiree medical, and deferred compensation.
Amethyst will work with clients chosen advisors during the analysis and development stage. Additionally our team will develop, tailor and execute each captive programs unique reporting and operating requirements to meet the compliance needs of the captive insurance company.
The situations and conditions listed above are just a few examples of common insurance & risk finance matters our professionals have addressed through feasibility, structural recommendations and normal course of business matters our captive clients encounter. Reaching beyond the obvious to deliver creative and relevant services is what motivates us, we are passionate about our trade.