The State of Georgia has introduced a new law which revises certain definitions in the state's captive law, eases the process for forming a captive, and allows a captive to be a limited liability company.
Signed by Governor Nathan Deal, Senate Bill 173 amends various elements of Chapter 41 of Title 33 of the Official Code of Georgia Annotated.
Section 4 of the bill now allows a pure captive insurance company or an agency captive insurance company to be incorporated as a stock insurer or organised as a manager-managed limited liability company.
The bill also confirms which risks an agency captive can reinsure, such as the risk of insurance or annuity contracts placed by or through the agency, brokerage, managing general agent or reinsurance intermediary by which it is owned or controlled.
It also allows agency captives to reinsure the contractual liability arising out of service contracts or warranties.
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Georgia, Legislation, Nathan Deal, Captives, North America