Traditional insurance carriers may leave you in the dark when it comes to tracking how your money is spent, when claims are paid out and to whom. As a group captive member, you are an owner. You control the "who," "why" and "when" of the insurance process. The financial strength of the group allows members the independence to choose the highest quality service providers, while limiting the risk of catastrophic losses. This ability to control and manage these services reduces fixed costs.

While the alternative marketplace includes a number of captive options, DS&P and Captive Resources focuses much of its expertise on member-owned group captives. These member-owned companies are typically classified as either Homogeneous or Heterogeneous:

• Homogeneous captives refer to those groups whose members represent the same industry, such as building contractors, trucking companies, electrical distributors, and temporary employment agencies.
• Heterogeneous captives refer to those groups whose members are from diverse industries.

Both homogeneous and heterogeneous captives provide similar benefits. The choice is simply a matter of preference.

Although we will work in both U.S. and foreign domiciles, most captives formed by our clients are generally incorporated and conduct business under the jurisdiction of an offshore domicile such as the Cayman Islands. We believe offshore incorporation provides lower cost of operation, more practical governmental regulations, and potential tax advantages.

Since its inception, the captive has been considered an alternative to traditional insurance. Today, the figures present a different picture, one in which alternative insurance strategies are expected to gain a 50 percent share of the overall insurance market.