Old Home Week

Road-show-2017

As many of you know, VCIA hosts a couple of educational sessions in different cities across the country to espouse the virtues of captive insurance. We call these our World Famous Road Shows, well, because the Ringley Brothers Barnum & Bailey Circus is no more! It is an afternoon that focuses on the basics of captive insurance companies, including the reasons for formation, the feasibility process and key issues in putting a successful captive program together.  A brief overview of Vermont as a captive domicile is also discussed.

It hit us late last year that we have never brought our Road Show to our Homeland – the Great State of Vermont! So next Wednesday, October 25th at the Burlington Hilton we will presenting the Road Show for companies in Vermont (and neighboring regions), as well as enticing finance, business and accounting students from local colleges to come learn about this great industry in their backyard.

We will have Vermont’s chief regulator, Dave Provost on a panel with Rusty Young, a Shareholder at Burlington law firm Primmer Piper Eggleston & Cramer, PC. The panel will be moderated by Ian Davis of Vermont’s Department of Economic Development. I will host the second panel of two of the industry’s experienced captive owners. Jan Klodowski is vice present of Agrisurance Inc. and is responsible for developing and administering their successful Captive/Alternative Risk Financing programs. She manages Agrisurance, Inc., a Vermont-domiciled Sponsored Captive focused on service the farming and agricultural industry. And Wilda Seymour, the corporate director of Professional Liability for the University of Pennsylvania Health System and vice president, Franklin Casualty Insurance Company, their Vermont-domiciled captive.

Hope you can join us to get a better idea why Vermont is the #1 captive domicile in the United States!

One last thing – we need your input! Today is the deadline to submit topics for VCIA’s annual conference next August. Please click link below to submit a conference topic suggestion:

http://conta.cc/2uY3JFL

 

Thank you and I look forward to hearing from you.

Rich Smith
VCIA President

 

state-of-the-unionEvery year VCIA hosts a webinar for our members that provides an informative and timely update on VCIA legislative activities on behalf of our members and the industry.  We call it “Captive State of the Union” because, like the President’s address to Congress every January, this is a chance for our members to hear just what’s going on in Montpelier, Washington, and across the world.  I will be joined by Dave Provost, Deputy Commissioner for Captive Insurance at the Vermont Department of Financial Regulation, and Jim McIntyre, VCIA’s representative in Washington for an overview of new and pending regulations in the state and in Washington D.C. and the NAIC.  The webinar is for VCIA Members only and is free of charge!

This is a relaxed but informative hour where we will discuss issues like the potential impact of tax reform on captives, status of the Captive Insurers Clarification Act, the Vermont captive bill signed into law this past spring, and updates from the NAIC, including the proposed NAIC Insurance Data Security Model Law, XXX / AXXX regulations and proposal to collect expanded mid-year investment information, plus more.  So join us on October 19th from 2:00 – 3:00 pm ET and become informed!

Thank you and I look forward to hearing from you.

Rich Smith
VCIA President

Through the Roof! Vermont Celebrates 1,100th Licensed Captive Insurance Company

The Staup-chartte of Vermont just announced that the Department of Financial Regulation (DFR) has licensed Vermont’s 1,100th captive insurance company. AssureCap Indemnity, LLC was licensed as a Sponsored Captive Insurance Company. It was formed by Assurance Agency, Ltd., which was recently named the 41st largest insurance broker in the United States by Business Insurance magazine and is now the largest independent insurance brokerage in Illinois.

According to the announcement, Assurance Agency, Ltd. President Daniel Klaras said Vermont was an easy choice.  “We know how important it is to be in an environment that has an established track record with proven experience,” he said, “so when we compared experience, governmental support and the state’s long-standing tradition of quality regulation, we knew Vermont was the place to be.”  Amen, Brother!

As most of you know, Vermont is the largest captive insurance domicile in the U.S. and the third largest in the world.  Congratulations to the State of Vermont’s Captive Team! Why would you be anywhere else?

Thank you all very much, and I look forward to hearing from you.

 

Rich Smith
VCIA President

Cyber Stars

SOV-stars

We all know that Vermont’s captive regulators epitomize the Gold Standard the state embodies when it comes to captive insurance domiciles. Dave Provost, Sandy Bigglestone and the captive team at Vermont’s Department of Financial Regulation (DFR) are considered objectively as the best in the business. One reason for their star status is their desire to keep learning and moving ahead with the industry as it evolves. Being highly knowledgeable experts requires active learning.

This week, VCIA coordinated a ½ day educational session with the captive team from DFR (along with many of their colleagues from traditional insurance, banking and securities) on the subject of cybersecurity. VCIA board chair Heather McClure and Lynn Sessions from the law firm of Baker Hostetler lead the session on cyber liability, threats that create cyber exposure, regulatory scrutiny giving rise to claims and best practices when responding to these events. The goal of the session was to instill a depth and breadth of cyber knowledge in the Vermont staff that will be another benefit for Vermont captives.

Heather’s day job is executive director of operations at OU Physicians, and she is a licensed attorney in Oklahoma and Texas with an LL.M. in Health Care Law. She is also the Chief Operating Officer of OU Physicians’ captive professional liability insurer, Academic Physicians Insurance Company, which covers approximately 750 faculty physicians, 700 resident physicians and 700 medical students at the University of Oklahoma College of Medicine.

Lynn is a leading privacy and data protection attorney with Baker Hostetler with over 22 years of involvement in the healthcare industry. She has handled nearly 400 data breaches and over 100 regulatory investigations.  She was awarded a Burton Distinguished Writing Award at the Library of Congress for her article, “Anatomy of a Healthcare Data Breach.”

These two highly experienced professionals provided the DFR team with actual cyber liability claims and data breach responses, and provided a forum to ask questions of a leading privacy and data protection attorney and an insured who has experienced cyber incidents first hand.  The audience asked great questions and dug deep into what cyber policies should include and how best to regulate them for the good of the captive. Seeing this it is not hard to understand why Vermont remains the Gold Standard!

I look forward to hearing from you.

Rich Smith
VCIA President

Its spring… so let’s party

 

2017-spring-mixerVCIA hosted a Board meeting and our Spring Mixer at the beautiful Hotel Vermont this past Wednesday night. We had a great turnout and a great evening outdoors with friends from the VCIA community.

At the board meeting, I provided an update on our activities since the beginning of the year and reported on legislative activities VCIA is heavily involved with at the State and Federal levels. Ian Davis, the newish Director of Financial Services for Vermont’s Department of Economic Development gave what I would call “the first 100 days” report and thanked all in the industry who have welcomed him and provided guidance and support. We all look forward to working with Ian going forward!

Dave Provost and Sandy Bigglestone from Vermont’s Department of Financial Regulation (DFR) hosted a Q & A with members where they covered topics ranging from the provision in the newly enacted updates to Vermont’s captive statute that allows agency captives to be licensed, to how quickly we might see a captive licensed for the emerging marijuana industry – just a hint: not that soon.

Then it was cocktail hour (or so) with our members, old and new, on the outside patio of the hotel Vermont overlooking the lake – a perfect way to end a busy day!

I look forward to hearing from you.

Rich Smith
VCIA President