International Experience, Local Market Expertise
Focused on our clients’ business objectives.
Cell Captives have been one of the most important steps in the evolution of the captive space, and have become an integral component of the self-insurance market in many of the established captive domiciles. In fact, the growth of such vehicles now outpaces that of traditional captives. Referred to as the Segregated Account Company in Bermuda, the Segregated Portfolio Company in Cayman, the Protected Cell Company in Guernsey and the Protected Cell Captive Insurance Company in Tennessee, these structures provide a straightforward means of accessing the many benefits of a self-insurance strategy.
Artex has access to the world’s largest independent network of Cell Captives and is experienced in all cell structures: Protected Cell Companies (PCCs), Incorporated Cell Companies (ICCs), Segregated Portfolio Companies (SPCs) and Segregated Account Companies (SACs). Additionally, our experienced captive team provides service support for the lifecycle of the structure – from the initial feasibility study through formation and ongoing captive management. Moreover, we offer domicile neutrality and complete independence throughout, unencumbered by ties to specific domiciles or territories. Our focus is solely our client’s business objectives.
We currently manage more than 105 individual cells for all sizes of business – from small-scale operations to multi-national organizations that encompass a wide range of industry sectors. Our client-driven approach combines international experience with local market expertise, allowing us to deliver a solution that capitalizes on our global access and local insight. The cell solutions we design are based on our customer’s individual risk profile, ensuring that our strategies are aligned with each organization’s requirements. The flexibility of these structures also enables us to be responsive to changing market conditions and organizational dynamics.
Inside a Cell Company
Cell Companies can be used in two ways: A parent company can own the whole company, using its separate cells to segregate its risks into different accounts. Or, parties can rent individual cells that are independent of the Cell Company owner. This has become a popular risk solution for smaller companies as the capital requirements of individual cells are significantly lower than those for a captive. Our PremierComp+ solution is a perfect example of this.
A Cell Company can be designed to fund increased deductibles for a company’s insurance policies, such as property, automobile, employer’s liability and product liability, and to write niche insurance products such as cyber liability and supply chain disruption where standard coverage is excessively expensive or unavailable.
Benefits of a Cell Company
- Easy and quick to set up with Artex’s extensive network of established cell companies
- Requires lower initial capital outlay than a Single-Parent or Group Captive
- Assets of each individual cell are protected from creditors of other cells and from the third-party sponsor/owner of the cell
- Flexible allocation of capital
- Program design flexibility
- Increased control over insurance
Companies that are too small to create their own Single Captives, are not looking to establish an Association or Group Captive, are seeking to establish joint ventures and a strategic alliance, or would like access to specialist reinsurance markets, are good candidates for a Cell Captive.