Macquarie launches rent-a-captive insurance solution

Macquarie Insurance Facility (Macquarie) has expanded its client offering with the launch of a rent-a-captive insurance solution for property and casualty related risks.

Following regulatory approval earlier this year, clients are now able to leverage Macquarie’s status as a captive insurer. In doing so, clients can avoid the large upfront investment and ongoing expenses associated with establishing and operating a single parent captive insurer while accessing all the benefits including greater control, risk retention flexibility and more effective risk management.

Captive insurance has seen steady growth in recent years and now represents nearly 25% of the overall commercial insurance market.¹ Driven by the increasing appeal of cost savings, risk management customisation, and enhanced opportunities for cash flow, clients are looking for ways to utilise captive insurers.

Nick Wilski, Global Head of Macquarie Insurance Facility, said: “Macquarie joining the rent-a-captive market provides an opportunity for our clients to simplify their insurance needs. By offering clients the opportunity to leverage the benefits of captive insurance, without the operational burden, we’re providing an efficient, flexible and tailored insurance solution.”

The establishment of Macquarie’s rent-a-captive insurance product is the latest development of Macquarie’s insurance expertise. Earlier this year, Macquarie was approved as a Lloyd’s cover holder and secured a binding authority agreement with Mosaic Insurance.

Macquarie Insurance Facility has grown to become one of the world’s largest insurance aggregators. It aggregates approximately $US1.6 billion of premium spend annually from participating private equity, infrastructure, energy and real estate firms.

1. EY: 2024 Global Insurance Outlook