Group Insurance May Be The Route To Take For Your Business

When you embark on the journey of starting your own business, there are a number of factors to take into consideration. Startup cost, employee development, and business structure are just a few. One thing that you will eventually come across is the need for insurance. There are plenty of conventional insurance options for new and existing business owners, but if you are forward thinking in exploring income opportunities while also saving costs and meeting your insurance needs, then you should consider captive insurance.

How Is It Different?

Like typical business insurance, captive insurance provides business owners with the protection of their assets and property by covering losses of income, damage to property, lawsuits, and employee sickness/injury. Where it differs is in its structure and how you and your business will fit it. This is because you will not only become a member of the insurance group and policyholder, but you will also become a part owner of the insurance as well. Ownership is also not passive as policyholders not only own the insurance, they also help control it to the mutual benefit of all.

The Risks And Rewards

You may think, at face value, that captive insurance sounds a lot like mutual insurance, but there is one major difference. The profits are not kept within the created insurance company or given back as rebates on premiums. It is divided among the policyholders as profit. This is a benefit as well as savings in the costs typically built into traditional insurance such that which is tacked on to provide agents with there commissions. Policyholders put up the money that funds the captive and they do assume risk as they pay out losses. The key is to realize that captives are a separate business. They are just as important as your main business venture and should be treated as such.

Going about joining or establishing a captive can be a difficult road to navigate. When the time comes to make decisions about captive insurance you should seek out authorities in the field who know the pros and cons and consult with them.


I/we give my/our consent to receive data in respect of coverage servicing, declare servicing, updates on my coverage, updates on new and present product, advertising or servicing my relationship with Kotak Mahindra Common Insurance Company Limited, its group firms/associates or brokers via Telephone/Cellular/SMS/e-Mail, and so on. The Insurance coverage Council of Manitoba is the legislated licensing physique for all agents, brokers and adjusters in Manitoba. Catastrophic events, including pure disasters may materially increase the liabilities for claims and may end up in losses and have adversarial effect on monetary condition and its operations.\n\nGIC is the leader in Indian reinsurance industry with a trusted model and 44 years of experience. For extra details on threat factors, terms, situations and exclusions, please learn the sales brochure fastidiously before concluding a sale. We provide insurance coverage protection across various classes – motor, well being, travel, residence, pupil journey, and more.\n\nAnother positive is 30% of the GIC business comes from the international market which not solely mitigates its dangers but in addition provide floor for additional expansion. Insurance coverage wants additionally change at each life stage: from starting out in your profession, getting married, having youngsters to retiring.\n\nFor sum insured = Rs. 2 lakhs, no medical check required in case your age is less than 56 years. Kotak Mahindra Basic Insurance coverage Firm Ltd. It covers medical & travel emergency bills. The IPO, which constitutes 14.22 % of post-offer paid-up fairness share capital, includes of recent situation of 1.72 crore equity shares and an offer for sale of 10.seventy five crore shares by promoter – President of India.…