CAPTIVE USAGE: Migration of premium to captives will accelerate

Business Insurance Europe's poll of leading insurance buyers in Europe found that captives will continue to take premiums away from the primary commercial insurance market because of long-term company strategy plus fears of a hardening market

EUROPE'S COMMERCIAL INSURANCE market will lose premiums if and when it begins to raise rates again as buyers opt to retain more risk and run it through their captives, according to Business Insurance Europe's Risk Manager survey 2008.

Many of Europe's leading insurance buyers also say that they plan to use their captives more as part of a long-term strategy to self-insure more of their risks because it is more economic.

A small number also said that the commercial insurance market's inability... For the full article click here to download the digital edition of the BIE 100 Risk Manager Survey 2008