The Delaware Department of Insurance, Bureau of Captive & Financial Insurance Products has announced that it is now offering a conditional certificate of authority (COA) on the same day the application is received for licensing a captive insurance company.
The Department said that the recently passed bill HB 334 authorizes the Insurance Commissioner to issue conditional COAs to captive insurance company applicants. These conditional COA’s authorise the captive insurance company applicant to conduct business while the Commissioner completes the review of the application materials.
It said that: “Conditional Certificates of authority will be issued only upon receipt of evidence of the minimum capital and surplus required by Chapter 69 of Title 18 of Delaware Code and a certification from the captive owner that the application materials comply with the requirements of Chapter 69. A captive insurance company is granted a Conditional Certificate of Authority for a fee of $3600. Delaware applies Know Your Customer; only certain managers may submit applications for a conditional license.”
“Delaware is the first in the nation to electronically offer a conditional certificate of authority as part of the general application,” said Trinidad Navarro, Delaware’s Insurance Commissioner. “This is a huge step in the right direction for streamlining the process for businesses looking to form a captive in Delaware.”
Delaware, insurance, Department, COAs, application, certificate, same-day