Law360, New York ( April 21, 2016, 9:17 PM EDT) -- In our experience, a lawyer specializing in insurance coverage — even a whole group of insurance coverage lawyers — can practice for decades hearing the word "captive" thrown about by brokers or risk managers in large companies without being asked to address legal issues relating to a captive and without understanding what the heck a captive is or how it works. The National Association of Insurance Commissioners (NAIC) and the Center for Insurance Policy Research define a captive as "an insurance company created and wholly owned by one or more non-insurance companies to insure the risks of its owner (or owners)."[1] So at its core, a "pure" captive is a quasi-insurance company set up and funded by a business to serve as a form of self-insurance....
Law360 is on it, so you are, too.
A Law360 subscription puts you at the center of fast-moving legal issues, trends and developments so you can act with speed and confidence. Over 200 articles are published daily across more than 60 topics, industries, practice areas and jurisdictions.
