Hawaii captive count rises in 2017Reprints
Hawaii licensed 30 new captive insurers in 2017, tying the most licensed in a single year since the state’s captive law was adopted in 1986.
The newly licensed captives comprise 24 pure captives, two risk retention groups, one sponsored captive, and three reinsurance-only captives, with 19 captive owners based in the United States and five in Japan, according to the Hawaii Department of Commerce and Consumer Affairs Insurance Division.
The captive owners come from various industries, including financial services, retail, manufacturing, construction, real estate, health, and transportation, the department said Tuesday in a statement.
Hawaii also licensed 30 captives in 2004.
As of Dec. 31, there were 230 active licensed captive insurers domiciled in the state.
There were eight dissolved captive insurers in 2017, two of which were conversions to protected cells under a sponsored captive.
“The quantity and quality of new captive insurance companies in 2017 proves the strength of Hawaii as an ideal domicile,” Insurance Commissioner Gordon Ito said in the statement. “The state of Hawaii’s focus will continue to be providing a strong infrastructure for its captive insurance companies.”
In 2016, Hawaii’s captive insurers wrote more than $6.2 billion in premium volume, invested nearly $1.1 billion in assets through Hawaii financial institutions and generated about $23 million in economic benefits to the state, according to the department.