MJ Student-Run Insurance Company received licensing approval from the Bermuda Monetary Authority in April.
The captive will insure the university’s live mascot bulldog Trip, rare books, fine art, and its observatory telescope, and will be able to pay out losses of up to $250,000 a year.
“This allows us to take the premiums, that in the past were going to an insurance company, and have them stay in the captive, to be reinvested in loss control,” said Zach Finn, clinical professor and director of Butler’s Davey Risk Management and Insurance Program.
“Butler will save and potentially make money,” with the aim of one day covering third-party risk, according to Finn.
Aon will active as captive manager, while KPMG will serve as auditor.
Take a look at the previous issue of Captive Insurance Times for an in-depth interview with Finn.