title: Captive insurance companies in health care.
abstract: A health care system or individual hospital should consider establishing a captive insurance company if any one of the following situations exist: The organization's professional liability program is arranged with a self-insured retention of $500,000 or more, or consideration is being given to such an arrangement. A trust fund has been established for a self-insured exposure--professional liability, workers' compensation, or employee benefits. A portion of the organization's professional liability excess insurance program is arranged with an insurer that uses a fronting insurer. The organization currently sponsors, or is considering sponsoring, a physicians' liability insurance program for medical staff members. If any of those situations exist, a comprehensive feasibility study should be undertaken, preferably by an independent, objective organization that does not have a financial interest in the outcome of the study.
authors: R R
authors: RR
authors: Huntington
mesh_terms: D003365:Costs and Cost Analysis; D005377:Financial Management, Hospital; D007343:Insurance Carriers / Q000191:economics*; D007351:Insurance, Liability / Q000191:economics*; D012308:Risk Management / Q000191:economics*; D013660:Taxes / Q000331:legislation & jurisprudence; D014481:United States