A Picture
of Captive
Health
LAURA ZEHM, vice president and CFO of Community Hospital of the Monterey Peninsula. After months of research, the hospital decided to set up a
captive in Vermont. More health care companies are choosing the domicile as a place for their captive.
Two new Vermont captive owners talk about their
journeys from concept to formation, revealing
the foundations behind the domicile’s continued
success. BY MATTHEW BRODSKY
It was something nearly two years
in coming. At the beginning, there
was a hospital, Community Hospital
of the Monterey Peninsula, and the
many employers that sent their
injured and ill employees its way.
These employers were asking,
pleading, for ways to reduce their
health care benefits costs.
The hospital had an answer
for its own costs. As Laura Zehm,
vice president and CFO explains,
the hospital was able to reduce its
own budget by $44 million. Yet,
even while reducing its own costs,
the hospital couldn’t pass down
savings to local businesses in terms
of cheaper health care provided to
employees.
