MOST FREQUENTLY ASKED QUESTIONS
Q: WHY SYNERGY INSURANCE?
A: Synergy Insurance is a full service commercial brokerage firm which specializes in captive management. Our office can handle both your commercial insurance and captive insurance needs.
Q: IS EACH CAPTIVE TAILORED SPECIFICALLY TO MY BUSINESS?
A: Each captive is formed with your business in mind. Through a formal feasibility study, we will help you select the coverages that your captive can insure. Since your business is unique, your exposures will be unique as well.
Q: WHAT NEEDS TO BE COMPLETED ANNUALLY FOR A CAPTIVE?
A: Annually your captive is subject to an annual reserve review by an independent insurance actuary and an independent CPA firm financial audit. The costs of these services are included in a client’s monthly management fees.
Q: DO YOU WORK WITH ANY THIRD PARTY SERVICE VENDORS?
A: Working with third party vendors allows us to clearly focus on your risk management needs. We work with independent actuaries, CPAs, attorneys, and underwriters. As your captive manager we coordinate all the services needed to make sure your captive is compliant.
Q: HOW CAN THIS SAVE ME MONEY ON MY TRADITIONAL INSURANCE?
A: Through a full risk management analysis, we are able to determine what risks/coverages are better suited to be insured through the captive versus a traditional carrier. We look at your traditional insurance and the captive as one cohesive strategy. Savings can be accomplished by adjusting coverages and increasing deductibles and then recapturing those exposures through your new captive.
Q: CAN I CANCEL MY TRADITIONAL INSURANCE?
A: Initially NO. In most cases, the formation of the captive will allow adjustments to be made to your traditional commercial policies, such as increasing your deductibles, which should decrease your current insurance expense. In the future, as the captive develops reserves, further adjustments are possible on a case-by-case basis.
Q: HOW LONG IS THE PROCESS TO ESTABLISH A CAPTIVE?
A: Typically a captive formation takes about 45-60 days. This can vary depending on the time of year and the jurisdiction selected.
Q: DO CAPTIVES WORK FOR MY TYPE OF BUSINESS?
A: The great thing about captives is that they are potentially suited for all industry and business types in the small to medium sized market. Prior to any engagements we complete a no obligation preliminary review for your business. This review is based on our experience and expertise and it will help to determine if proceeding with a formal feasibility study is recommended.
Q: HOW DOES THIS HELP MY BUSINESS?
A: Our captive’s create a risk management strategy that gives you more control over your business. The captive can increase cash-flow, reduce insurance costs, capture underwriting profits and provide many additional benefits.
Q: DO YOU DO ANY WORK OFF-SHORE?
A: NO! We only license and manage captives in domestic jurisdictions and our risk pool is a licensed Montana insurance company. While captives can be licensed in over 40 States—the jurisdictions we prefer include Montana, Delaware, Utah and North Carolina.