How to Set Up a Captive

• 1Feasibility Study

  • Defining business purposes

    Financial analysis

    Risk management analysis

    Defining projected risk

    Financial impact on parent company

    Analysis of cash flow and tax benefits

    Domicile selection

  • Developing captive program and
    ownership structure

• 2Selection of service professionals

  • Defining business purposes
  • Legal expert
  • Actuary
  • Auditor
  • CPA
  • Captive manager, etc

• 3Analyzing business needs and interviews

  • Operation details

    Develop business model

    Products design

  • Interview with domicile
    regulators (if necessary)

• 4Application

  • Personal information (shareholder, director, staff)
  • Organizational info
  • Business plan

    Corporate ownership

    Objectives

    Managerial structure

    Coverage control

    Required capital

    Insureds

    Investment planning

    Reinsurance requirements

    Projected financial statements

    Risk management, claims, charges.

• 5After approval by regulators

  • Formation and registration
  • Paid-up capital payment
  • Operation & regulation method
  • Insurance products and related
    operation design
  • Insurance policy issuance & distribution
  • Accounting partner selection

SGIS’s Captive Service

One-Team service by expert underwriters

• 20-plus years underwriting experience
  for fire and various new insurance product
  development
• Expertise in insurance program structuring
  for EQ, product liability, recall, construction, etc

Optimal insurance design and pricing
proper response to legalities to achieve profits

Forming and offering a
core network with professionalism

• Original insurer: highly competent 2-3 Japan-
  based insurers with focused cooperation
• Reinsurer: 4-5 international reinsurers with full
  understanding of captive programs

Achieve bigger profits through optimal cost
structuring protecting risk capital & reducing
risk financing expenses

Maximizing Captive potential based
on distinctive reinsurance process

Creativity

We invent and implement various schemes
to perfectly meet client needs and
correctly fit domicile deeds