North Carolina has licensed 1,500 captives
North Carolina Insurance Commissioner Mike Causey has congratulated the state’s Captive Insurance Programme for licensing 1,500 captive entities for the first time since the programme began 10 years ago.
“Since the passage of the Captive Insurance Act ten years ago, North Carolina’s programme has experienced tremendous growth,” Causey said. “I am excited that the Department’s Captive Insurance Programme continues to attract businesses to our state.”
According to Causey this is evidence that North Carolina, with its strong economy and business friendly environment, continues to be a leading domicile for captive insurance companies.
He attributed the programme’s growth to prudent regulation making captive formation more feasible along with a strong commitment to providing excellent customer service.
During 2023, the program was also recognised for its achievements. It received “Highly Commended” from Captive International’s US Awards.
As of December 31, 2023, risk bearing captive insurance entities under the regulation of the NCDOI totalled 1,069, comprising 311 captive insurance companies and 758 cells and series. In 2023, the NCDOI licensed or conditionally licensed 49 captive insurance companies, with nearly 100 cells and series approved or conditionally approved.
As of year-end 2023, North Carolina’s captive insurers comprised of:
Pure captive insurers: 234
Protected cell captive insurers: 46
Risk retention groups: 10
Special purpose captive insurers: 21
The licences granted by the state during 2023 were for new insurer formations and the transfer of other captive insurers to North Carolina from other captive domiciles. Licensed captive insurers represent a wide variety of industries including healthcare, construction, financial services and insurance.
North Carolina’s success as a captive domicile is expected to continue with its portfolio of licensed captive insurers expanding in size and diversity throughout 2024.
“I am eager to see what the next decade means to the industry and North Carolina’s Captive Insurance Program,” Commissioner Causey said.