GROUP CAPTIVE
ADVANTAGES
Resetting the bar for fairness, transparency,
and value for voluntary benefits and driving
value back to our participating members.
100% Employees
Receiving Better
Plan Designs
10%
Average Employee
Cost Savings
10%-30%
Group Captive
Distributions
WHAT COVERAGES?
- Accident
- Critical Illness
- Hospital Indemnity
WHO QUALIFIES?
- U.S. based employers only
- Employee paid basis
- 1000 eligible employees or a min of $100,000 supplemental premiums
- Employer paid basis
- 250 eligible lives
HOW DOES GROUP CAPTIVE WORK?
All employee premiums are paid directly to the insurance carrier, which holds the funds to pay all claims throughout the policy year. A top rated insurance carrier reinsures 100% of the program but the issuance of policies, handling of customer service and adjudication of claims are all handled by one of the most respected insurance companies in America. Underwriting gains have ranged between 10% and 30%. Because claims experience will vary from year to year, no distributions are guaranteed, however, employers will never face a capital call in the event there is a premium shortfall.
IMPORTANT CONSIDERATIONS
Employee Value Proposition
- Actuarial analysis performed
- Employee must receive better benefit
- Participation not guaranteed
Employer Value Proposition
- Complete financial transparency
- Monthly reporting
- Underwriting gains back to employers on pro-rata basis
Group Captive
- DOL waiver not required
- No ER/EE conflict of interest
- Distributions based on all employees in captive
- Captive takes 100% of downside risk, no ER
- All distributions must be reinvested back into plan