What does Microcaptive mean? Read on to discover the definition & meaning of the term Microcaptive - to help you better understand the language used in insurance policies.
A captive operating with annual written premium of less than $2.2 million. In the United States, such captives may be taxed under Internal Revenue Code § 831(b), which provides that a captive qualifying to be taxed as a U.S. insurance company may pay tax only on investment income.
We hope the you have a better understanding of the meaning of Microcaptive.