Capstone Associated is set to acquire the US captive management portfolios of captive insurance management firms.
According to Capstone, the interest to acquire books of captive management businesses started when the firm was approached by a captive management firm to assist in the design, formations and management of its clients’ captives.
Clete Thompson, vice president of business development at Capstone, will lead the acquisition efforts.
Commenting on the announcement, Thompson said: “Capstone continues to be bullish on alternative risk planning. We continue to ramp-up efforts to meet today’s increasing oversight."
Stewart Feldman, CEO and general counsel, added: “Over the years, we’ve seen captives fail because there’s no effective oversight of the insurance, tax, legal, actuarial, and many other critical aspects of the planning. Most of the work is segmented, and often, important work, such as pricing, policy design, and claims is given insufficient attention."
"If an alternative risk planning programme is to be successful, there must be a cohesive and coordinated group of qualified professionals working together.”