Captive Insurance is defined as a insurance company that is wholly owned and controlled by it’s members or insured's. In essence, for those that qualify you will “own your own insurance company”.
A collection of business owners can realize many benefits from using a captive as part of its risk management program. Significant advantages include the ability to share in creation of it’s own insurance policies, underwriting profit and investment income. By utilizing a captive, as opposed to relying on traditional insurance, the captive owners essentially retain, the premiums paid into the captive, earn income from the investment of the funds, and retain potential underwriting profit.
- Tax deduction for the participating company for the insurance premium paid to the captive;
- Various other tax savings opportunities, including gift and estate tax savings for the shareholders and income tax savings for both the captive and the parent;
- Opportunity to accumulate wealth in a tax-favored vehicle;
- Distributions (dividends) to captive owners at favorable income tax rates; Based on profitability.
- Asset protection from the claims of business and personal creditors;
- Insuring risks that would otherwise be uninsurable. (Cannabis – Cannabis Beverages)
Wine, Beer, Cider and Spirits Beverages
Water, Juice, Natural, Alternate Beverages
Processing of Meat, Fish and Poultry
Restaurant Chains, Franchises and Groups
Infused Cannabis Beverage Manufacturing
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