As a rule insurance companies are more stable than banks. The reason is that they receive premium payments at regular intervals and arrange their businesses in such a manner that their payouts in claims are generally lower than their income. The most obvious exceptions are when disasters strike unexpectedly as in the oil spill in the Gulf of Mexico and the meltdown at the Fukoshima nuclear reactor in Japan.
An offshore insurance company is a viable alternative to an insurance company. Your offshore insurance company may be unrestricted or restricted. The unrestricted insurance company is called a General Insurance Company. Such a company has a wider range of permissible investment opportunities. The restricted is called a Captive Insurance Company. It is an excellent vehicle where a business wishes to self-insure its employees and/or activities. It is especially attractive for a company owning several medical clinics or where several physicians, dentists or other medical professionals form a co-operative and insure their practices through their own captive insurance company. A captive insurance company gives them a voice in where their funds are invested and who is engaged to manage them. This is a definite advantage when it comes to avoiding investments that are morally reprehensible. Medical malpractice insurance is so costly that many people who have trained for years to become doctors have left their practice, because they can no longer afford the insurance. A captive insurance company could significantly reduce your cost of malpractice insurance and permit you to continue to practice the life-saving activities you were trained to do..