Good morning. My name is Nicholas Prouty, and I am the Managing Partner of Putnam Bridge an investment firm located in Santurce. I appreciate the invitation to speak today and share some thoughts with regard to the role technology will play in the economic turn-around of Puerto Rico. However before beginning, let me first address the recent ratings downgrade by Standard & Poor’s. My fundamental belief in Puerto Rico remains absolutely unchanged – Puerto Rico is in the process of a great reinvention and the smart money knows it and that money will soon make its way into your hands.
Captive insurance companies have been growing by leaps and bounds. A captive is an insurance company that insures the risks of its parent company. It is owned by a parent or at times by the shareholders of the parent company. The operating entity insures all or part of its risks with its captive company. The captive may reinsure some or all of such risks, or may retain such risks. The benefits of a captive may be many, but the primary goal is to retain the profit that would have been made by an outside third party insurance company or to provide coverage where coverage would not be available. There are many differing types of captives, based upon what the needs of the parent company or its owners are. The most commonly encountered types of captives according to Wikipedia are as follows:
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