Featured News

Code of Ethics

Captive Insurance Industry Code of Ethics Adopted in North Carolina

The North Carolina Captive Insurance Association (NCCIA) recently adopted a code of ethics designed to maintain a high-quality captive insurance industry. The code of ethics is believed to be the first one created for the captive insurance industry. Atlas Insurance Management is one of the first captive insurance management firms to sign a written pledge to adhere to the 10 principles of the new code.
August 07, 2015 Read More
Keyboard Hands

New Online Captive Insurance Courses Offer CE and CPE Credit

A new Captive Insurance CE Learning Center, featuring online courses on captive insurance and related topics, is now open. Offered as a service of Captive.com, the learning center currently includes one course: Captives as Risk Retention Mechanisms. In July a second course, Property and Casualty Reinsurance Fundamentals, will be included, and a third course, Captives as Risk Transfer Mechanisms, will be added in August.
June 24, 2015 Read More
Treasury-Currency

Treasury and IRS Issue New Proposed PFIC Regulations Aimed at Hedge Fund Reinsurers

Passive foreign investment company (PFIC) regulations proposed by the U.S. Department of the Treasury to close reinsurer PFIC loophole.
May 06, 2015 Read More

Hot Topics

Kitchen Sink

Captive-Related IRS Analysis: Everything but the Kitchen Sink

On August 14, 2015, the Internal Revenue Service (IRS) released Chief Counsel Advice (CCA) 201533011, in which the IRS determined that the excess loss insurance contracts at issue do not qualify as insurance for US federal income tax purposes. The CCA is the latest indication of the IRS's position on the ongoing issue of what is insurance and continues the IRS's reliance on the common sense insurance prong of the test for insurance to bolster its conclusions on the other prongs of the test.
August 26, 2015 Read More
American Courtroom Interior

Validus Court Holds FET Not Applicable to Foreign Reinsurance

Validus holding that federal excise tax (FET) does not apply to foreign reinsurance transactions is affirmed by the U.S. Court of Appeals for the District of Columbia Circuit.
May 27, 2015 Read More
Tax Court Decision

Healthmark Case Changes Brother-Sister Captive Tax Treatment

Captive insurance involving single-member limited liability companies may now qualify as insurance for tax purposes due to a recent decision in the Healthmark case.
April 06, 2015 Read More
IRS Building

IRS Dirty Dozen Abusive Tax Structures Single Out Micro-Captives

In IR-2015-19, the IRS explained that 831(b) micro-captives may be considered abusive tax structures and outlined determining criteria.
February 06, 2015 Read More

Recent News

Captive Insurance Community Can Find Important Information in September CICR Issue

CICR 
Captive Insurance Company Reports (CICR) once again includes some meaty articles in the September issue with useful information about and suggestions for captive operations. It is also peppered with editorial comments on issues of importance to the captive insurance community.
September 02, 2015 Read More

Captive Insurance Manager for Missouri Takes New Position

Missouri Flag 
Maria Sheffield, captive program manager for the Missouri Department of Insurance, has announced she has resigned to take a position in Nashville with Caterpillar Financial Services Corporation.
September 01, 2015 Read More

Reinsurer Performance Mixed for First 6 Months of 2015

Survey Results-Mixed 
Excluding the performance of National Indemnity Co., net premiums written for the first half of 2015 increased 1.35 percent among the 18 US property/casualty reinsurers tracked by the Reinsurance Association of America (RAA).
August 31, 2015 Read More

Captive Insurance Companies for Health Care Take on Wider Range of Risks

Doctors Surgeons 
A.M. BestTV has released a webinar video that focuses on areas of emerging risks being assumed by healthcare captives.
August 28, 2015 Read More

Captive Insurance Company First To Be Licensed in Ohio

Ohio Flag 
Imprise Financial PCC, Inc., is now licensed as Ohio’s first "protected cell" captive insurance company, the Ohio Department of Insurance has announced. Through its protected cells, Imprise Financial will allow businesses to insure some of their own commercial risks, realize greater control of their risk­ management programs, and achieve long-­term financial stability.
August 27, 2015 Read More

Small Insurers, RRGs Have Increased Access to Capital, Article Says

Capital Source 
The Summer 2015 edition of the Demotech Difference contains an article by Joseph Scheerer, founder, principal, and managing director of Stonybrook Capital, concerning the increasing access to capital for small insurance companies and risk retention groups (RRGs).
August 26, 2015 Read More

Captive Insurance Association Members Receive Microcaptive Guidance

Tax Key 
The Captive Insurance Companies Association (CICA) has just released an additional “Information Statement Regarding Micro-Captives” intended to supplement its two Captive Best Practices Guidelines.
August 26, 2015 Read More

Captive Insurance Industry Associations Oppose Proposed Exclusion from Federal Home Loan Bank

Federal Home Loan Banks 
Since the Federal Housing Finance Agency (FHFA) published a proposed rule in the Federal Register almost a year ago that would exclude captive insurers from membership in the Federal Home Loan Bank, it has received more than 1,300 comments, including those opposing the proposed definition of "insurance company."
August 25, 2015 Read More

Captive Insurance Groups Comment on International Organization Proposal

Feedback Meeting 
The Delaware Department of Insurance, the Vermont Captive Insurance Association (VCIA), and the National Association of Insurance Commissioners (NAIC) are among a limited number of US organizations that submitted comments on the "Application Paper on the Regulation and Supervision of Captive Insurers” May 2015 draft developed by the International Association of Insurance Supervisors (IAIS).
August 24, 2015 Read More