Construction Companies Curate Captive Coverages
- Amanda Luby
- Jun 24
- 1 min read
The construction industry, like many others at the moment, faces various headwinds given the tariffs (which are elevating the costs of construction materials) and the immigration crackdowns (which are scaring away vital immigrant workers, even those who are here legally). For decades now, though, the country's largest (and sometimes publicly-traded) builders, developers, and suppliers have used captive insurers to manage their risks, whether such risks are supply chain disruptions, mistaken regulatory enforcement actions, key contract terminations, product warranty, cyber-risk, worker's compensation, general liability, etc.
Captives -- which are insurance subsidiaries/affiliates of the parent construction company* -- aren't just for the super-large organizations, however. They also can be used successfully by middle market builders, developers, and manufacturers/suppliers. If you are in the construction industry and your bottom line and operational viability are being squeezed by rising commercial insurance premiums and external pressures, contact one of our executives to learn how captive ownership can help protect your enterprise.
*Captives are industry agnostic. For the sake of this post, reference is made solely to the primary construction business that needs insurance.
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