In June 2011, Tennessee Governor Bill Haslam signed into law legislation that fully-updated the state’s captive insurance statute. In addition to permitting single parent and groups captives, the new statute permits the licensing of additional captive structures, including:
Incorporated Cell Captives
The law permits Tennessee-based companies that qualify as workers’ compensation self-insurers to fund this risk through a captive insurance company.
Forming a Captive Insurance Company helps increase control and reduce costs. Businesses confront risk every day. That's why captive insurance is becoming a mainstream risk management tool. Captive insurance offers a wide variety of flexible tools to help you gain control over risk management issues and reduce your costs. Tennessee's new captive legislation, its unique centrally located geographic location and a Department of Commerce and Insurance dedicated to making the state a "best in class" makes for a winning combination worthy of consideration.