Hawaii is now the domicile for 186 captives, with the addition of seven new captives licensed in the first three-quarters of 2014. U.S. owners represent 94 percent of the captives domiciled in Hawaii; the remaining are from Asia/Pacific locations.
The U.S. Senate failed to pass legislation reauthorizing the Terrorism Risk Insurance Act (TRIA), leading to the expiration of this coverage December 31, 2014. While TRIA reauthorization had passed the House it stalled in the Senate, which adjourned without taking action. That means it will be up to the new incoming Congress in 2015 to determine whether the federal government will continue to provide an insurance backstop for terrorism.
Usernames and passwords may soon be obsolete. An article titled "One Step Closer to the End of Passwords" on the Enterprise Security Today website, part of the NewsFactor Network of online news sites, suggests that they might be if advancements in cryptography continue to rapidly gain ground.
In our ongoing program to update and improve Captive.com, the Captive Basics section has been expanded with a new article. “What Is a Protected or Segregated Cell Captive?” discusses the advantages and disadvantages of rental captives and describes protected cell captives.
The Captive Insurance Companies Association (CICA) has announced the program for its 2015 International Conference, which will be held March 8–10, 2015 in Orlando, Florida.
Executives, claims professionals, and others serving captives providing workers compensation coverage should read the results of the 2014 Workers’ Compensation Benchmarking Study--Claims Management Operational Study. The study had the benefit of the participation of more than 400 managers, directors, and executive-level claims leaders, a 57 percent increase from the prior year.
The New York Times has reported that life insurers are …”taking advantage of fierce competition for their business among states, which have passed special laws that allow the companies to pull cash away from reserves they are required to keep to pay claims.”
The US Securities and Exchange Commission has recently adopted money market fund rules. The rules are designed to reduce the risk of investor runs on money market funds should another financial crisis occur. The new rules require institutional money market funds to float the net asset value (share price) in such a manner that it reflects the fair value of the investments the fund holds.
In our ongoing program to update and improve Captive.com, the Captive Basics section has been expanded with a new article: “What Is a Micro-Captive?”