Selecting a licensing jurisdiction (the “domicile”) of your captive is much more than a matter of where your organization is located. Some domiciles provide specific regulatory frameworks for certain types of captives, and it takes an experienced guide to understand the differences.
A domicile’s enabling legislation and regulatory framework are important to consider. A very important factor is the staff and history of service of a domicile – does it take three months or nine months to go through the formation process? What are the domicile taxes and fees? Are annual audits handled efficiently or do regulators make them difficult?
Another factor is the location of the domicile in regards to climate and favorable facilities for visitors. Is your domicile a place you will enjoy visiting for regulatory processes and required annual meetings?
At this time about 34 U.S. states and the District of Columbia present themselves as captive insurance domiciles. But the differences from one to another can be vast and could contribute to a new captive’s success or failure.
Following is a list of domiciles where Taft personnel have deep experience and success in managing client captives: