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A NEW ERA FOR CAPTIVES

A NEW ERA FOR CAPTIVES

Interest in captives has grown as the firming reinsurance market prompts companies to rethink their risk financing strategies. Even with some capacity returning to the commercial market, many organizations continue to rely on self‑insurance due to tougher renewals, rising rates and reduced capacity. Captives are now viewed as strategic tools, supported by complementary solutions like parametric and structured products. This expanded approach reflects a broader trend toward diversified alternative risk transfer methods that enhance resilience and long‑term stability.

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