Business Lines
Reiss introduced the captive to provide large corporations with insurance coverages they needed but could not obtain economically through the mainstream insurance market, thus reducing their costs. Captives can cover lines of business, such as workers' compensation, that have relatively predictable claim rates. They can access the reinsurance market to lay off risks that they do not wish to accept: this may include product liability, general and professional liability and directors' and officers' liability. Vehicle insurance, both property damage and third party liability of corporate fleets and vehicles, is also quite commonly covered.
Read more about this topic: Captive Insurance
Famous quotes containing the words business and/or lines:
“Knighterrantry is a most chuckleheaded trade, and it is tedious hard work, too, but I begin to see that there is money in it, after all, if you have luck. Not that I would ever engage in it, as a business, for I wouldn’t. No sound and legitimate business can be established on a basis of speculation. A successful whirl in the knighterrantry line—now what is it when you blow away the nonsense and come down to the cold facts? It’s just a corner in pork, that’s all.”
—Mark Twain [Samuel Langhorne Clemens] (1835–1910)
“The opera isn’t over till the fat lady sings.”
—Anonymous.
A modern proverb along the lines of “don’t count your chickens before they’re hatched.” This form of words has no precise origin, though both Bartlett’s Familiar Quotations (16th ed., 1992)