Full control and centralised approach.
Multinational companies with a large scale and centralised approach to risk management can complement and optimise their overall risk management strategies by funding their employee benefits through a captive arrangement.
Since their debut in the mid-'90s, the number of employee benefits captives has steadily increased as companies realise their ability to achieve:
- Improved cash flow
- Risk diversification and reduced volatility of the overall portfolio
- Stronger control over local rates and underwriting
- Global overview of budget, coverages and experience
Local insurance policies which comply with local regulations on worker protection. Captives are complex and strategic arrangements hence to take full advantage of their contribution, companies need to work in collaboration with a strong network that can provide them with:
- Full control of local contracts through a reinsurance-based funding mechanism from local to central level
- Geographic matching for every country in which the parent company operates
- Unrivalled expertise in local market practices and global coordination mechanisms
- Experience in supporting coordination and management of captive arrangements worldwide