US Virgin Islands clarifies captives law

The US Virgin Islands’ Rules and Judiciary Committee on Wednesday voted in favour of a bill reforming captive legislation.  Bill no. 34-0191 amends the Virgin Islands International Insurers Act and seeks to clarify its purpose and prohibit multi-state insurers that don’t meet National Association of Insurance Commissioners accreditation standards.

According to the bill’s sponsor Senator Donna A. Frett-Gregory, the bill would help ensure standards of regulation across the industry.

“With these safeguards in place, the measures will strengthen the regulatory oversight of the Division of Banking and Insurance over the captive insurance program and secure reaccreditation of the division of banking and insurance,” she said.

The committee also considered a new bill to authorise the Virgin Islands Port Authority to establish a self-insurance program on the same day. The Port Authority is seeking to save costs with the program that will cover general liability, motor liability, and third party injuries.

Both bills were sent to the full senate, continuing their passage towards becoming law.