Vermont Governor Phil Scott has signed House Bill 137 into law, introducing a series of technical amendments to the state’s captive insurance statutes.
The legislation forms part of the Department of Financial Regulation’s (DFR) annual 'housekeeping' efforts to update insurance regulations.
It incorporates changes developed by the DFR’s Captive Insurance Division in consultation with industry stakeholders. The Vermont Captive Insurance Association (VCIA) played a key role in shaping the amendments.
One of the updates aligns captive licensing authority more closely with broader insurance statutes by referencing Section 3301 of Title 8 of the Vermont Statutes Annotated.
The bill also clarifies signing authority for individuals in manager-managed limited liability companies.
Additional amendments refine provisions for mutual insurers and captives operating as reinsurance companies.
State officials say the changes reinforce Vermont’s standing as a global leader in captive insurance.
“It’s important for Vermont to consistently modernise captive insurance laws in this highly competitive sector,” Governor Scott stresses.
“By working collaboratively with industry partners and the Legislature, Vermont maintains its strong reputation in this sector and continues to be a place where companies choose to conduct business in.”
Kaj Samsom, commissioner of the DFR, says the state’s success stems from “our regulatory framework, and the DFR’s ability to work effectively with the robust network of service providers who have built a strong foundation for success in the industry.”
Sandy Bigglestone, deputy commissioner of the Captive Insurance division, adds: “I am proud the DFR continues the tradition of working well with industry to advance and improve upon the regulatory environment for the long-term success of our domicile.”
Kevin Mead, CEO of the VCIA, comments: “The VCIA has worked with Vermont’s regulators and lawmakers over decades in a collaborative and efficient manner to evolve the industry and improve the experience of captive insurance companies that choose Vermont.”
