Captive Domicile Selection: Key Factors for Today's Organizations

In this episode of The Edge of Risk by IRMI, host Joel Appelbaum speaks with Austin Griffith, senior vice president at Risk Management Advisors, for an in-depth discussion on captive insurance domicile selection. Mr. Griffith outlines the core considerations that shape domicile strategy, including where risks are located, the types of policies being written, premium tax implications, regulatory environments, and the logistical realities of board meetings and travel. He also emphasizes the operational importance of domicile service levels, especially when captives need timely responses to dividend requests or coverage changes.

Mr. Griffith further examines the growing trend toward home state domiciling, explaining when it can be advantageous and when limitations in state legislation or regulatory infrastructure may require organizations to look elsewhere. The episode also addresses federal and state tax considerations, procurement tax, misconceptions about "right or wrong" domiciles, and the role advisers play when working across numerous jurisdictions. Mr. Griffith closes by looking ahead at an increasingly competitive landscape as more states build out captive insurance legislation and regulatory capacity.