Global Fronting Programmes & Captive Management
AIG has over 50 years of experience providing a full range of market-leading fronting and captive solutions that leverage our ability to provide locally admitted insurance in over 200 countries and jurisdictions through a robust network of AIG affiliate and partner operations.
Captives are insurance or reinsurance companies formed primarily to insure its owner(s) and affiliated companies.
We offer a complete range of services regarding the feasibility, structuring, formation, and management of captives with an in-depth understanding of each domicile’s regulatory requirements and local business practices. Rent-a-captives through AIG’s cell captive facilities provide simple, cost-effective risk retention solutions.
Captive Management Services
Rent-A-Captive (RAC)
A client "rents" a segregated cell within a sponsored captive facility. Clients without a captive can experience many of its benefits through participation in AIG’s own captive cell facilities in Vermont and Bermuda.
Captive Management & Consulting Services
We provide a complete range of services regarding the feasibility, structuring, formation, and management of captives with an in-depth understanding of each domicile’s regulatory requirements and local business practices.
Programme Structures
Fully Funded Structures
The client funds a notional experience balance in the amount of the policy limit. This funding can take place pre-loss, post-loss or some combination. The notional experience balance is increased by interest credited and annual deposit premiums paid, and reduced by losses paid. At policy end, any residual balance would be returned.
Indemnity Programmes
A programme in which the client retains ultimate financial risk within a defined layer by agreeing to indemnify the insurer for all losses and other amounts paid in respect of that layer.