DGM Financial Group: How high net worth families can benefit from captive insurance

High net worth families often hold substantial business interests, real estate, art, and other valuable assets that need reliable insurance and long term planning. A captive insurance company, owned by the family or its structures, can help manage specific risks more precisely, access reinsurance markets, smooth insurance costs, and support intergenerational wealth transfer. Used correctly, captives can supplement traditional insurance by covering gaps, funding deductibles, and giving the family greater control over claims and coverage design.

Jurisdictions such as Barbados offer tax, regulatory, and structural advantages for captives, including the use of separate accounts and segregated cell companies, along with access to skilled local managers. At the same time, families must consider capitalization requirements, regulatory compliance, and tax rules such as controlled foreign company regimes. For a fuller explanation of how these elements fit together, and how a captive might work in practice for a family structure, readers should review the complete article on the DGM Financial Group website.

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