Sandra and I attended the Delaware Captive Insurance Association Forum on May 12th and 13th in Wilmington, DE. The event was well attended with 79 participants from many disciplines all working in the captive space: attorneys, actuaries, CPA’s, captive managers, and Delaware regulators including the Insurance Commissioner, Karen Weldin. The forum offered a great opportunity to meet with several key players working with captives domiciled in Delaware.
Sandra was asked to present Tuesday morning and conducted a lively session regarding policy construction with Andrew Rennick, Esquire of Gordon, Fournaris & Mammarella, P.A. We had an interesting session with Steve Kinion, the Delaware Director, Bureau of Captive and Financial Insurance Products, where he shared his views on the National Association of Insurance Commissioners’ (NAIC) move to change the definition of multi-state insurers which may adversely affect captives. Steve also went over his proposed changes to Delaware regulations primarily affecting series captives, as well as providing new loan guidelines for all captives.
One of the participants of note was Chaz Lavelle of Bingham Greenebaum Doll, LLP. Chaz was the Tax Counsel for two key taxpayer victories in captive insurance cases including the Humana Inc. v. Commissioner which decided the “brother-sister” issue regarding risk sharing and risk distribution.
Great forum and time well spent!
Lynn H. Desmone
Capterra Risk Solutions
As a result of Ross Elliott’s retirement, there is officially a new Director of the Utah Captive Division. David Snowball, ACI, APIR was appointed the new Director in the first quarter of 2014. The Capterra team has been informed that Mr. Snowball plans to carry on the current traditions of responsiveness and good service previously provided under Mr. Elliott’s directorship.
Capterra Risk Solutions would like to wish Ross Elliott a very happy retirement and thank him for all of his assistance in the past. While we are sad to see Ross Elliott leave, we are very excited to congratulate David Snowball on his promotion from Financial Examiner to Captive Insurance Director in Utah.
Visit this site to view the announcement:
“Utah Insurance Commission picks new director for Captive Division” Article / Announcement written by Rodd Zolkos of BusinessInsurance.com on March 10, 2014 – 11:33am
The Insurance Commissioner Kiser tweeted on March 7, 2014 that a New Insurance Directors was appointed.
“Vermont’s New Captive Insurance Legislation Signed into Law; Changes Strengthen Vermont’s “Gold Standard” Captive Insurance Legislation”
Article posted by PRWeb.com on Thursday, April 17, 2014
Press Release posted by Digital Journal.com on Friday, April 18, 2014
Vermont has just enacted new legislation which creates a “dormant” status for captives. The dormant status provides a way for a captive that has ceased insurance operations to cost-effectively retain its license should it elect to resume operations in the future. (Bill H.563 amending Title 8) – Lynn H. Desmone, Account Executive, Capterra Risk Solutions (4/25/2014)
Read more here:
“New Legislation has passed in the Vermont State Legislature updating the state’s captive law. The new law, which takes effect immediately, amends the reciprocal insurer section and creates a new “dormant status for captives.” – Montpelier, VT (PRWEB) April 17, 2014 (http://www.prweb.com/releases/VermontCaptive/Legislation/prweb11771919.htm)
View the press release on DigitalJournal.com by clicking the link below:
To view “Bill H.563 amending Title 8” passed including amendments click on the following link:
Blog Post Written by Lynn H. Desmone
Finally! We’re feeling a thaw here in Pittsburgh and are ready to embrace spring! While winter might be a time of hibernation for some, not here at Capterra Risk Solutions. We were busy over the winter forming several new captives, three of which were organized in a relatively new domicile for us, Utah. The Utah Captive Insurance Division was most helpful in getting these new captives up and running and the staff has been a real pleasure to work with. We now have captives located in several domiciles, both onshore and offshore.
In addition to working with business owners to assess their fit for forming a captive, we’ve been working closely with the regulators in several domiciles, staying abreast of changes such as new filing requirements in Delaware and tightened regulations in Anguilla due to increased focus from the International Monetary Fund regarding all financial institutions domiciled there. Each domicile has its own challenges and opportunities. Several states have recently enacted new legislation making the organization of a new captive in a U.S. domicile an attractive option.
Is a captive insurance company a fit for you? As an additional risk management tool, a captive insurance company allows you, the business owner, to determine how much risk to retain, as well as insure risks that may be traditionally “uninsurable” or cost prohibitive. Risks like warranty programs, loss of a key contract or key employee, these all fit well into a captive insurance company. Want to learn more? Please give us a call, or send us a comment or question!