This software developer and internet service provider headquartered in the US has staff and operations located around the globe, yet felt that its insurance programs weren't addressing a number of key risks.  An Enterprise Risk Management review of their business operations and insurance policies identified many opportunities to proactively finance a number of exposures through a captive insurance company.

However, the tax treatment of premiums paid to the captive and the taxation of the captive insurance company itself was in question due to limited risk diversification (using the IRS's definition).  The solution was the Montana Reinsurance Exchange*, whereby captive insurance companies swap risks with others to achieve better diversification. 

We developed the captive's pro forma financials and a business plan which our client's board approved.  Within four weeks, their Montana captive insurance company was licensed and began insuring worldwide operations.   Now our client has dedicated, tax advantaged  resources through their captive to better manage worldwide risks.  

* The Montana Reinsurance Exchange is available only to Montana domiciled captive insurance companies.