U.S. insurance costs are skyrocketing. Business risks are multiplying. As a result, mid-sized businesses need to find alternatives to traditional commercial insurance. A new report from the Business Performance Innovation (BPI) Network finds that an increasing number of companies are forming their own purpose-built insurance subsidiaries to reduce insurance costs, expand coverage, and generate a new source of capital and wealth.

This white paper serves as an introduction to the concept of purpose-built captive insurance subsidiaries in which businesses form their own insurance companies, customize their policies to fit their individual needs, and retain and invest the premiums not used to cover losses to build significant wealth over time. Understanding this proven approach to risk management is something every business owner or manager should do.