The Delaware House of Representatives has introduced a bill to enhance the State's attractiveness as a domicile through creating a regulatory regime for captive insurance companies that are dormant.
House bill 87 was introduced on March 21 and is sponsored by Representative Bryon Short.
The bill states that a dormant captive insurance company is one that that did not contract for any direct or reinsurance premium for a full calendar year.
Furthermore, the captive must not be obligated as an insurance company under any contract of insurance or reinsurance during the year it is a dormant captive.
The dormant captive must possess unimpaired capital and surplus in an amount of $25,000 or any such amount determined by the Insurance Commissioner.
A committee hearing will take place within 12 legislative days of of the bill being introduced.
Did you enjoy reading this story? Sign up to our free weekly newsletters and get stories like this sent straight to your inbox.
Delaware House of Representatives, Captives, Legislation, North America