A.M.BestTV: Captive Leaders Fret About "Regulation by Accident" At the Annual Vermont Captive Insurance Association Conference

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FOR IMMEDIATE RELEASE

OLDWICK - AUGUST 13, 2014 03:46 PM (EDT)
This episode of ^A.M.BestTV wraps up the first day of the annual Vermont Captive Insurance Association (VCIA) Conference, which brings together brokers, consultants, insurers, captive owners and managers to discuss alternative risk transfer. These participants say that the Non-Admitted and Reinsurance Reform Act is causing confusion in the captive industry. Small captives also face scrutiny from tax authorities and regulators, according to Meg Green of ^A.M.BestTV.

"Two related concerns are the continuing regulation increases we are seeing at the national and international levels, which either implicitly target the captive industry or explicitly look for it. Such actions are usually driven by a lack of understanding about what exactly an insurance company does. The other concern is about regulations in some domiciles not being as strong as they need to be." said VCIA President Rich Smith.

According to David Snowball, Captive Division Director at Utah Insurance Department, tax considerations are changing the environment for small captives, spurring some captives to change domiciles, which might eventually encourage others to move offshore.

Another hot button issue is 831B-captives.

Click on http://www.ambest.com/v.asp?v=vcia1814 to view the video program. Full conference coverage can be seen at http://www.ambest.tv/vcia.

Other people who appear in this episode include:

• Nancy Gray, Regional Managing Director - Americas, Aon Global Insurance Managers;


• Jay Branum, Director of Captives, South Carolina Department of Insurance; and


• Fred Eslami, Senior Financial Analyst, A.M. Best Company

Full-length interviews from day one of the event also are available for viewing:

• David Provost, Deputy Commissioner, Vermont Captive Insurance Division: http://www.ambest.com/v.asp?v=provost814.


• Nancy Gray, Regional Managing Director - Americas, Aon Global Insurance Managers: http://www.ambest.com/v.asp?v=gray814.


• Rich Smith, President, Vermont Captive Insurance Association: http://www.ambest.com/v.asp?v=smith814.


• David Snowball, Captive Insurance Director, Utah: http://www.ambest.com/v.asp?v=snowball814.

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^A.M.BestTV covers exclusive A.M. Best information and reports, targeted topics and key developments in the (re)insurance industry every Monday, Wednesday and Friday. Sign up for alerts of episodes at www.ambest.com/multimedia/ambtvsignup.html. View ^A.M.BestTV episodes at www.ambest.tv.

A.M. Best Company is the world's oldest and most authoritative insurance rating and information source.