There is little doubt that the alternative risk transfer (ART) market has made a significant impact on the commercial insurance industry. With estimates in the 50%-plus range, the ART market may not be the "alternative" any longer. Nowhere is this more visible than within the ranks of the captive insurance community. While the captive/reinsurance relationship may have initially gotten off to a stormy beginning, over the years, both parties have seen the value of working together to develop a true partnership affiliation. Today's captives have proven to be an excellent partner for reinsurers who are looking for long-term business. Reinsurers, for their part, have learned that, by in large, organizations that choose to have "skin in the game," via capital and surplus in their captives, are typically better customers than the average commercial accounts. One would expect this relationship to grow even stronger in the future as both participants continue to find more value-added applications to incorporate into the captives' reinsurance programs.