Utah

Utah is known for being a business friendly state and our Captive Division fits the well. It is known for being fair and responsive to the needs of the captives domiciled here. Along with being reasonably priced with only a nominal annual fee and no premium taxes, Utah is easy to get to with a Delta hub and a great place to visit with much to see and do.

[Updated as of 12/31/2022]

Regulatory Contact:
Travis Wegkamp
Taylorsville State Office Building
4315 South 2700 West, Suite 2300
Taylorsville, UT 84129
Direct: 801-957-9235
twegkamp@utah.gov
Website:  insurance.utah.gov/captive

Name of Captive Legislation

Utah Code Annotated (U.C.A.) 31A-37, Captive Insurance Companies Act

Year Legislation Passed

2003

Recent Amendments

Minimum capitalization for sponsored programs was lowered to a total of $500,000 with a minimum of $200,000 of that coming from the core/sponsor. Additionally, legislation was passed to allow Utah captives to insure for punitive damages for their parent or an affiliate, so long as it does not arise out of a criminal act of the insured.

Does Utah allow Cell Captives?

Yes, legislation allowing sponsored cell programs was passed in 2011.

Number of Licensed Captives

Total: 419

  • Pure: 344
  • Pool: 8
  • Association: 2
  • RRG: 0
  • Sponsor: 11
    • Cells: 54

Number of New Formations in Previous Year (2022)

57 new risk-bearing entities:

  • 40 Pure and other,
  • 17 Cells

Approximate/Average Length of Time to Process a New Captive Application?

We ask that you allow us about 1 week at most (assuming full packet submitted), to review the initial application packet and issue what we call the Certificate of Public Good (CPG). Once that CPG issued the ball is really in the company’s court and it’s up to them how motivated they then are to complete the final steps, i.e. finalized corporate docs, pay license fee, and fund the captive. Once that’s completed we’ll issue the Certificate of Authority (CoA) allowing the captive to commence writing insurance. We like this final process of obtaining the CoA to be completed within 1 month of the CPG date, but are happy to extend that time with communication from the applicant.

Application Fee

$200

Captive Tax Rates

No State premium tax; just a simple annual license renewal fee:

  • All Captives - $7,500 total (includes $7,250 license & $250 e-Commerce fees),
  • Individual Cells - $1,000 total (no e-Commerce fee)

Minimum Capitalization Requirements

  • Pure - $250,000
  • Association - $750,000
  • Industrial Insured (RRG) - $700,000
  • Sponsored - $500,000 total
    • Minimum of $200,000 from the Core/Sponsor
    • No regulatory minimum for individual cells

Industry Sectors Best Represented in the Domicile

  • Professional Services – 17.8%
  • Healthcare – 16.2% 
  • Manufacturing – 13% 
  • Construction – 12.7% 
  • Real Estate – 10%
  • Financial – 8.5% 
  • Retail – 8%
  • Agricultural – 5% 
  • Energy – 2.5% 
  • IT/Telecoms – 1.7% 

Gross Premiums written for 2021

$2.142 Billion

Assets Under Management as of 2021

$7.074 Billion

Captive Managers Approved to Represent Utah Captives

A comprehensive list may be found on our website  here