With the help of a consulting actuary you have completed a captive feasibility study. Let's further assume that you've determined Vermont is the most logical choice for domiciling your captive insurer and you want a captive in place by year-end so you can begin writing coverage. The remainder of this article is designed to provide information on some of the more important aspects of the Vermont captive insurance industry, incorporation procedures and meeting regulatory filing requirements. It is not intended to be an all inclusive guide or to take the place of advice from qualified business professionals. After the decision is made to form a captive, management's first order of business is to select service providers.
Service providers are an invaluable resource to any risk manager when setting up a captive.
Incorporation, meeting regulatory requirements and getting your captive in place seems like a much less daunting task if you rely on the substantial knowledge of Vermont insurance managers, attorneys, accountants, and bankers. It's important to note that Vermont statutes require each captive to maintain its principal place of business within the state. The management company is often selected based on previously established brokerage relationships or other contacts. The next order of business is to select a name. Vermont statute says that you must not pick a name that is the same, deceptively similar, or likely to be mistaken for any other existing business name registered in the State of Vermont.