Definitions for "Captive insurer"
An insurance company set up by a company or group of companies to insure their own property or property held in common.
Insurance company established and owned by a parent firm in order to insure its loss exposures while reducing premium costs, providing easier access to a reinsurer, and perhaps easing tax burdens. See also Association captive.
a domestic insurer that transacts the business of insurance or reinsurance only on risks, hazards and liabilities of its parent, subsidiary companies of its parent, affiliate companies or the members of an insurance association