Using a Captive Insurer to Underwrite Reputational Risk Coverage

​   If you’re a CFP or accountant and want to earn 1 hour of continuing education credit, you can attend our free webinar titled, “An Introduction to Captive Insurance.”  Our next presentation is on January 25, 2017.  You can sign up at this link.

We formed and operate the first series LLC in Montana (named Aegis) for captive insurers. Several other firms provide key services such as accounting, audit and actuarial work. Please contact us at 832.330.4101 if you'd like to discuss forming a captive for your company
 
     Although cyber risk – losses related to computer hacking – is the most common technology related captive insurance policy, reputational damage is perhaps just as important.  Suppose that, like the pizza store owner in the story below, you discover your business’s reputation is tarnished due to some type of online posting.  To clean up this problem,

1. You’d need to hire a private investigator to discover who was behind the story,
2. Hire a public relations firm to rehabilitate your image
3. Hire an attorney to potentially sue the person or group that started the rumor.
4. You’d need to be reimbursed for the lost revenue

As the world becomes more and more inter-connected, the possibility of this type of loss increases.  

From the NY Times: