Captive insurance glossary

Short, plain-English definitions of the terms used in captives and risk financing, such as domicile, IBNR, protected cell company and captive manager. Each entry gives the meaning and points to a full guide or solution page when you need more than a definition.

C

  • Captive manager

    A firm that runs a captive insurer's day-to-day operations under contract. It does not own the captive or carry its insurance risk.

D

  • Domicile

    The jurisdiction where a captive insurer is licensed and whose insurance regulator supervises it.

F

  • Fronting carrier

    A licensed insurer that issues a policy and reinsures the risk to a captive.

I

P

  • Protected cell company

    A single company whose assets and liabilities are divided into legally segregated cells, kept apart from each other and from its core.