Marsh report shows captives growing in scope and strategic importance

Marsh has published its 2025 Captive Benchmarking Report, which examines nearly 1,500 Marsh-managed captives around the world.

Marsh said that in addition to providing valuable insights into the performance and trends of captive insurance companies, this year’s report shows how parent companies are aligning their captive strategies with broader business objectives.

Among the key findings:

• Over the last five years, Marsh has assisted in the formation of nearly 500 new captive entities, including 92 in 2024.

• Gross written premium (GWP) in Marsh-managed captives increased 6% in 2024, to $77 billion, due in part to their parents’ concerns about the volatility of capacity and rates in commercial insurance and reinsurance.

• On average, established captives added one or two more product lines to their captives in 2024. Captives owned by financial institutions write the most lines of cover, an average of six.

• Marsh-managed captives now write in excess of $170 million gross written premium for cyber risks compared to just $30 million five years ago.

• Other lines of coverage beyond cyber that captives are writing more of include directors and officers (D&O) liability, trade credit, political risk, and contingent business interruption.

• Marsh-managed captives in 2024 wrote the highest limits — ranging from $10 million to $100 million — for cyber, excess liability, and property risks.

William Thomas-Ferrand, global leader, Captive Solutions, Marsh, said: “As our research shows, more organisations today are recognising the value of using a captive as part of their risk management strategy, regardless of market conditions. We also continue to see increased interest from captive owners to strategically find ways to optimise their captives to align with their evolving needs.”

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