Van Carlson: Why 831(b) Risk Management Strategies Are Gaining Ground | The Concierge CPA

CPA Trendlines Podcasts

What once was seen as a tax loophole is now becoming a mainstream strategy for business continuity—if done right.
The Concierge CPA
With Jackie Meyer
For CPA Trendlines

The world of business risk has changed drastically since 1986, and so has the way innovative entrepreneurs protect themselves. In a recent episode of The Concierge CPA, host Dr. Jackie Meyer sits down with Van Carlson, founder and CEO of SRA 831(b) Admin, to demystify one of the most misunderstood tools in modern financial planning: the 831(b) captive.

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At its core, the 831(b) tax code allows business owners to form small insurance companies to self-insure specific risks. But as Carlson explains, “It’s not just about taxes—it’s about protecting your business from the risks no one else will cover.”
Originally created during the 1986 Tax Reform Act to help farmers and businesses insure against unique or underwritten risks, the 831(b) structure has evolved into a modern enterprise risk solution. And for Carlson, who’s led audits and compliance for hundreds of captives, this is not a loophole—it’s a legitimate strategy. “We embolden business owners through innovative risk management,” he says. “And the risks they face now—cybersecurity, supply chain failure, brand damage—are unlike anything we saw in the 1980s.”