Using Captives To Backstop Your Warranties Makes Financial Cents (pun intended)

One of the most appreciated uses of a captive insurer is its ability to provide the insurance backstop for warranties attached to the sale of goods and/or services. If your business sells services and/or goods that are reinforced by any kind of statutory or contractual warranty or guaranty, or if your company sells extended warranties directly to its customers, using a captive to finance the risks associated with those warranties could prove to be a smart and fruitful business decision. Warranties are good business. They instill confidence in one's brand; and promote goodwill among the purchasing public. This article by Pinnacle Actuarial Resources, Inc., a large and independent, actuarial services firm, describes the nuts and bolts of how using a captive insurer to support one's warranties can help build one's brand and financial well-being. Contact one of the executives at #AllianceCaptiveManagement to learn more. #captiveinsurance #warranty #warranties #guarantee #riskfinancing #ownyourrisks #controlyourinsurance

https://www.pinnacleactuaries.com/article/benefits-using-captives-insure-guarantees-new-products