Cayman Islands Segregated Portfolio Company and Rent-a-Captive
Rembrandt SPC, LTD is incorporated in the Cayman Islands as a Segregated Portfolio Company (SPC)Segregated Portfolio Company:A type of rent-a-captive created under statute that legally shield accounts from one another in segregated portfolios. and functions as a rent-a-captive.
Founded in 2002, Rembrandt SPC, Ltd. continues to provide segregated cells for a variety of coverages and structures over a wide range of diversified businesses. This professionally managed rent-a-captive facility offers various risk sharing arrangements for individual companies, groups and associations.
Examples of feasible captive insurance programs include:
- Professional liability for hospitals’ employee and non-employee physicians; dentists; nursing homes; architects & engineers; and attorneys.
- Risk financing to compliment self-insured medical plans embodying medical stop loss funding.
- Auto dealers’ extended warranty insurance.
- Truckers’ auto liability and inland marine cargo.
- Contractors’ liability insurance.
- Agency captive business.
- Workers’ compensation, general liability, and auto liability for commercial businesses.
- Catastrophe funding including earthquake, windstorm, flood, product recall, and cyber risks.
- Reverse flow business for US exposures of non-US companies.
Cayman SPC legislation insulates participants in Rembrandt’s rent-a-captive programs from each other, so that each participant operates independent of other programs and of the company as a whole. This provides peace of mind knowing that your funds cannot be used to offset losses of other rent-a-captive participants.
As a viable alternative to an 831(b) captive, Rembrandt SPC, Ltd. is a Non-Controlled Foreign CorporationNon-Controlled Foreign Corporation:A firm incorporated under the laws of a foreign (non-US) jurisdiction with no one US shareholder controlling 10% or more of the voting powers. US shareholders of a NCFC are required to pay taxes on distributed income but may defer payment of taxes on constructive dividend income until distributed., which allows participants to benefit from underwriting profits and investment income, on a tax deferred basis, generated by the risks insured in specific individual Segregated Portfolios.
The ongoing costs are also significantly less than those associated with owning a captive, since operating expenses are spread among the other participants without the encumbrance of forming a new company, capitalizing it and contributing to surplus. Overall, we are able to provide a superior cost effective facility compared to other more expensive U.S. onshore and offshore based operations.
The owners of Rembrandt are experienced insurance professionals committed to regulatory compliance and transparency with our customers. Our mission is to support our customers’ business objectives through well designed, secure and innovative programs.
How a Rent-a-Captive Can Help Your Business
Regardless of market conditions, the use of a rent-a-captive can help individual businesses, groups and associations, achieve the benefits of exclusive risk financing models previously reserved for large corporations with sophisticated risk management programs.
The advantages of participating in a Rembrandt’s segregated portfolio include:
- Minimization of cost of risk through the efficient funding of deductibles and self-insured retentions.
- Ability to transfer reserves off the operating company’s balance sheet for existing self-insurance and large deductible retentions.
- Building underwriting profit and investment income on premium cash flow and claims reserves.
- Direct access to reinsurance markets.
- Greater control over insurance program, claims management and loss prevention.
- Obtaining coverage for certain risks that are unavailable or unaffordable in the conventional market.
- No minimum capitalization requirements.
- Lower administrative costs than a standalone captives
- Ease of formation with one fee covering reporting requirements, accounting, underwriting, auditing and other administrative services.
Please review our site to learn how Rembrandt is unique among rent-a-captive and contact us for additional information.