What type of insurer restricts the exposures it writes to those of its owners?

The type of insurer that restricts the exposures it writes to those of its owners is known as a captive insurer. A captive insurer is created and owned by an individual or a business primarily to provide insurance coverage to itself or its affiliates. This structure allows the owners to tailor the insurance coverage specifically to their own needs and risks, making it a strategic choice for businesses seeking to manage risk more effectively.

Captive insurers are often used by companies that want to achieve greater control over their insurance costs and coverage, as well as to help them evaluate and mitigate risks in a more personalized manner. This focus on servicing the specific risks of its owners distinguishes captive insurers from other types of insurers, which may underwrite broader markets or have a more diverse range of clients and risks.

In contrast, mutual insurers are owned by their policyholders and typically serve a larger group of insured individuals or entities. Commercial insurers also provide a wider array of insurance products to the general public and businesses. Reciprocal insurers involve policyholders who agree to insure each other, functioning more like a cooperative insurance model, which doesn't restrict exposure solely to owners.