Group Captive
Group Captive refers to a specialized insurance company that is jointly owned and controlled by multiple unrelated parent companies and exists for the purpose of insuring the risks of those parent companies. With a group captive, the parent companies can essentially pool their risks and share the liabilities. This lessens the burden on each individual company and allows a distribution of risks that would not be available if each of them self-insured.
Related term: captive
Learn more: Three Captive Insurance Types You Should Know