The South Carolina Department of Insurance (SCDOI) has licensed its 300th captive.
The department issued captive license number 300 to Velocity Insurance Company, a risk retention group owned by various subsidiaries of Roadrunner Transportation Systems, headquartered in Cudahy, Wisconsin.
Velocity was formed to provide automobile liability coverage to the Roadrunner companies and will be managed by USA Risk Group, a subsidiary of Spencer Capital Holdings.
An asset-light transportation and logistics service provider, Roadrunner offers a comprehensive suite of global supply chain solutions. The company posted operating income of $96.7 million in 2015 on revenues of $1.995 billion and is publicly traded on the New York Stock Exchange.
"We are pleased to welcome Roadrunner to the growing list of impressive companies which have chosen to make South Carolina their captive home,” said Jay Branum, director of captives at the SCDOI. “Captives provide substantial advantages to owners who want to take their risk management and risk financing programs to a higher level of sophistication and control.”
Raymond Farmer, SCDOI director, added: “Today’s announcement reinforces South Carolina’s reputation as a domicile that is well established and well respected and further signifies our long-term commitment to the captive industry.”
Gary Osborne, president, USA Risk Group, commented: “As the nation’s leading independent provider of alternative risk management services, we are proud to have been chosen to manage Roadrunner’s new captive, and gratified to be recognised for having brought South Carolina its 300th captive.
“We look forward to working with Roadrunner and its business partners on this new captive programme. These are exciting times for USA Risk Group. We are in a period of dynamic growth, and appreciate the continued good relationship we enjoy with the South Carolina Department as well as with the regulators of the 19 other onshore and offshore domiciles in which we operate.”
South Carolina Department of Insurance, Captive insurance, Velocity Insurance Company, Roadrunner Transportation Systems, North America