The man often called the father of the captive insurance concept, the late Fred Reiss, has been posthumously recognised for his pioneering of a now established risk management tool.

Mr. Reiss, who died in 1993, has been awarded the John S. Bickley Founders' Award Gold Medal by the International Insurance Society, Inc. of New York for his contributions to the industry, recognising how doggedly Mr. Reiss worked to establish Bermuda as an offshore insurance hub, and coining the 'captive' term.

Bermuda was the first real home of captive insurers ? companies set up to insure the risks of the parent company, often referred to as self-insurance vehicles. The Island has continued to dominate this sector with Bermuda holding its place, amid rapidly growing competition, as the leading captive domicile 40 years on.

Mr. Reiss was also instrumental in establishing the framework for the Bermuda Insurance Act during the 1970s.

His company, International Risk Management, controlled the captive industry in Bermuda for many years, while Hopewell International, which Mr. Reiss also founded, paved the way for captive insurers to access the reinsurance markets.

Mr. Reiss was named the 2004 recipient of the medal, with the award being accepted on his behalf by his son, Jonathan Reiss, at the society's meeting in London yesterday.

Mr. Jonathan Reiss, a partner in the Bermuda office of Ernst & Young in the insurance division, said in a Press release: "I am truly honoured to be accepting this prestigious award on my father's behalf."

"It is a tribute to his commitment, passion and drive in boosting Bermuda's profile in the insurance industry. This award has a special meaning to me, as I too share my father's passion for insurance."