Vermont is the largest onshore captive domicile, second in the world in terms of assets and the third largest in number of licenses. Over 1,013 companies (as of January 2014) have been licensed in Vermont since 1981.
Vermont has been a leader in the captive insurance industry for over thirty years.
In 1981, the Vermont Legislature passed the Special Insurer Act which was designed to provide a unique and attractive statutory framework for captive formation. These landmark regulations have become the model of captive regulation.
Vermont's captive insurance statute has been modified continually to meet the needs of this dynamic, fast-paced industry. The Vermont legislature listens and is responsive; and Vermont has a team of regulatory professionals dedicated to serving captives. Throughout its history in Vermont, the captive insurance industry has received universal and enthusiastic support from the governors and state legislators.
The Captive Insurance Division of the Vermont Department of Financial Regulation (DFR) is dedicated to attracting and serving the captive insurance industry. It is the largest governmental staff of captive insurance professionals in the world and a major motivating factor for companies choosing to domicile in Vermont.
The Division’s efforts are bolstered by the Vermont Captive Insurance Association (VCIA) and a mature infrastructure of management companies, law firms, banks, and accounting firms throughout the state. Together with a staff of seasoned and responsive regulators, this highly professional network is fine tuned to meet the needs of captive insurers.