Captives and Managing Risk first new EXPLAINED Guides launched
Airmic has released new and updated resources on managing risk and understanding captives as part of its relaunched EXPLAINED Guide series. The Airmic series of EXPLAINED guides provides guidance on a range of risk and insurance subjects at an introductory level.
The Risk and Managing Risk publication, produced in collaboration with Marsh, provides a one stop source of knowledge and guidance for risk professionals and others with an interest in managing risk.
“This EXPLAINED Guide is intended for professionals starting out on their risk management career journey or for those who have risk management responsibilities, including those in internal audit, company secretarial, finance, security, technology, business continuity, or human resources,” said Julia Graham, Deputy CEO and Technical Director of Airmic.
“As we continue to collaborate more closely with our professional peers it is important that we talk the same language and develop a shared and common understanding of the risk management basics.”
Captives and Understanding Captives will support insurance and risk professionals and others with an interest in the subject in their understanding of captives and their value as part of a portfolio of risk financing solutions.
The harsh insurance market of 2019 and 2020 has brought the topic of captives to the forefront, as insurance buyers face in some cases exponential rises in pricing, as well as new exclusions, higher deductibles and lower limits, causing them to reconsider their risk transfer options.
"While captives are valuable risk management and risk financing tools throughout market cycles, there is no doubt that rising rates and decreasing capacity have pushed captives to the top of the agenda once again,” said Richard Cutcher, Captive Ambassador at Airmic.
“Existing captive owners are taking on higher retentions and writing new lines, while new organisations are considering forming a captive or cell for the first time. For those new to the risk management profession, or for those new to insurance procurement, this EXPLAINED Guide provides all you need to know for a comprehensive introduction on why captives exist, how they are used and what is required to establish and operate one.”