The primary aim of HighDome PCC is to help companies utilise captives to enhance their overall business strategies rather than to simply reduce their premium spend, according to Javier Mirabal, executive director at HighDome.
HighDome is an independent (re)insurance company based in Malta providing rent-a-captive services to clients.
“We manage over €20m in premiums and operate four cells, primarily focused on short-tail risks, such as property damage,” Pedro Pinhal, CEO of HighDome, told Captive Intelligence.
Pinhal said the liability and ownership of each cell is the full responsibiity of the company utilising the cell.
“The protected cell company (PCC) model is increasingly popular with clients because they no longer have to invest capital upfront,” Mirabal said.
He said that in a traditional captive, the client must invest capital, which can be problematic if their strategic plan changes.
“The money becomes ‘trapped’ and difficult to access,” he added.
Mirabal said that with the HighDome proposition, there is no trapped capital, and clients can exit whenever they choose.
“This is why we do not have 100 cells – our market is more specific and focused,” he explained.
“Our value proposition goes beyond just insurance, it’s about supporting healthy business growth.”
Pinhal said the firm believes in this business model because it allows clients to have more control.
“They can manage their claims directly, ensuring a better quality of service and experience for their customers,” he said.
Pinhal said another advantage is that they can retain underwriting profits in-house.
“In traditional insurance, the client pays a premium, the insurer pays the claim, and the underwriting profit stays with the insurer. With a captive, everything stays within the cell,” he added.
“For companies that want to improve their claims handling and better manage their risk, this model offers the advantage of retaining those profits and reinvesting them into their risk management efforts. We firmly believe in this approach.”