Most group captives hold board meetings twice each year to set direction for the coming months and years. Typically, these meetings approve renewal terms and conditions, financial statements, watch-list conditions, recognize safety excellence and set overall growth and strategic direction for the group captive.
It has always been Captive Resources’ view that group captives should be owned and run solely by their members, which supports the central captive insurance purpose of providing the members control. Captives are run by the member-owners, not by Captive Resources, any service provider or external third party. Each member has one seat on the captive’s Board of Directors and one vote which is cast at the semi-annual Board meetings, where a simple majority governs. Members find this an attractive feature since each one, regardless of premium size, has the same voice.
In addition, a strong committee structure allows for even greater individual participation by captive insurance members according to their specific interest or personal expertise. Captives typically have Underwriting, Finance & Investment, Risk Control, and Membership Development committees that bring their recommendations to the Board for review and discussion by the entire membership. Ad-hoc committees are often formed as needed for special initiatives or projects.
If you are interested in starting a group captive and would like consulting services on best practices, Captive Resources is here to help. Contact us online or over the phone at (847)781-1400.