Michigan amends reporting requirements

Michigan has amended the reporting requirements for captive insurance companies operating in the state.

SB 898, a partisan bill which was passed on 20 December, amends section 4621 of the Insurance Code of 1956 to alter the reporting requirements for captives in Michigan.

The code has been amended so that a captive insurance company must now submit a “report of its financial condition” no later than “60 days after the end of a captive insurance company’s fiscal year”, as opposed to the 1 March date previously required.

Additionally, all uses of the word “commissioner” in section 4621, have been replaced with “director”.

SB 898 also amends the code so that captives may report using “international financial reporting standards”.

The bill was introduced by Senator Joe Hune on 8 March this year and was passed by the Senate, with 32 yeas, 0 nays, 5 excused, 0 not voting, on 30 May.

It was passed by the Michigan house on 12 December and approved by the state Governor on 19 December.