Risk Retention, Capitalization Pose Hazards for Captives.Improper use of captive insurers can destroy value through errors in risk retention or capitalization, a London-based captive manager warned. "A common value destroyer destroyer, class of warship very fast relative to its length, generally equipped with torpedos, antisubmarine equipment, and medium-caliber and antiaircraft guns. The newest destroyers are equipped with guided missiles as their chief offensive weapon. is an inadequate retention strategy, either retaining too little risk when the captive could easily retain more or retaining too much when conventional risk transfer is very effective," said Ken MacDonald Sir Kenneth Donald John Macdonald, QC, is Director of Public Prosecutions of England and Wales.[1] In that office he is ex officio head of the Crown Prosecution Service. He was previously a recorder (part-time judge) and defence barrister. , managing director of IRMG IRMG Internet Radio Marketing Group IRMG International Risk Management Group Ltd IRMG Instant Results Marketing Group (Reno, NV) IRMG Information Resource Management Group Risk Advisory Services advisory services advisory services provided to the public, in their capacity as owners and managers of animals, are an important part of veterinary science. They may be provided by government bureaux, by commercial companies who deal in pharmaceuticals or animals or animal Europe, which manages more than 200 captives worldwide. Another value destroyer is improper capitalization. "Holding excess capital in a captive can be very, very costly. Often, captives have built up funds over the years, and their level of capital needs to be re-evaluated," he said. Several IRMG clients are assessing the level of capital their captives require. Evaluating capital requirements Capital requirements Financing required for the operation of a business, composed of long-term and working capital plus fixed assets. is increasingly important as captive strategies evolve. "The functions of a captive are limited only by the imagination," he said, citing functions ranging from credit-enhancement programs and employee-benefits plans to providing hostile bid coverage and acting as a conduit to offer customers insurance over the Internet. |
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