How Family Offices Use Captive Insurance to Self-Fund Risk

In this episode of Family Office Conversations with Fexingo, Lucas and Luna explore captive insurance — a strategy where family offices create their own insurance companies to cover risks like property, liability, and employee benefits. Lucas breaks down a real-world example: a $500 million single-family office that saved 30% on premiums by forming a captive in Vermont. They discuss the mechanics, including fronting policies, reserve requirements, and the role of third-party administrators. Luna asks about the pitfalls — from regulatory costs to the risk of underestimated claims. Lucas explains why captives work best for families with predictable loss histories and at least $50 million in liquid assets. The episode also touches on the 2026 trend: more family offices using captives to invest premiums in alternative assets like private credit and real estate. A concise guide to a powerful but niche tool in the family office toolkit. #CaptiveInsurance #FamilyOffice #WealthManagement #RiskManagement #SelfInsurance #VermontCaptive #InsuranceStrategy #PrivateWealth #AlternativeInvestments #PremiumInvesting #FinancialPlanning #BusinessFinance #WealthTransfer #GenerationalWealth #InsuranceRegulation #FexingoBusiness #BusinessPodcast #FinancePodcast Keep every episode free: buymeacoffee.com/fexingo