1 July 2016USA analysis

Captives provide $436 million boost to Tennessee

Tennessee-based captive insurance companies have given a $436 million boost to the state through direct and indirect spending from new jobs, investments and deposits, according to an annual survey given by the Tennessee Department of Commerce & Insurance’s (TDCI) Captive Insurance Section.

176 captive insurance professionals completed the survey, which further illustrates the direct economic impact of captive insurance on Tennessee, specifically when it comes to investment and job creation.

The survey shows a total direct capital investment of $410 million, total direct and indirect spending of more than $25 million and the creation of 82 full-time white collar jobs in Tennessee.

Michael Corbett, director of Captive Insurance, said: “Tennessee now ranks among the ‘best in class’ captive domiciles – both nationally and internationally – thanks to the leadership of Governor Bill Haslam and Commissioner Julie Mix McPeak who had the foresight to revamp the state’s captive legislation in 2011.

“The Captive Insurance Survey offers conclusive proof that Tennessee continues to see direct and long-lasting benefits from that decision five years ago.”