KeyState launches a new Washington, D.C. Department of Insurance, Securities and Banking (DC DISB) domiciled protected cell company (PCC) platform, aiming to provide a flexible and scalable alternative to traditional risk financing structures.
The new platform enables clients to participate in a segregated cell arrangement while maintaining strict legal and financial separation between each cell. This structure allows organisations to access the benefits of captive insurance, including greater control over underwriting and claims, and potential participation in underwriting profits, without the cost and capital commitment required to form a standalone pure captive.
"Launching this Protected Cell Company meaningfully expands our captive solutions platform," says David Guerino, executive vice president of captive solutions at KeyState. "It offers a flexible, practical alternative for growing companies exploring a captive for the first time or those that have outgrown their group captive delivering greater control over their risk management programmes."
Speaking to Captive Insurance Times, Guerino explains that the decision to choose Washington, D.C. as the domicile stems from the management team’s extensive experience working with the DC DISB and its regulatory team. He adds that a key driver for selecting the jurisdiction is the "added flexibility the jurisdiction allows in the formation of individual cells."
The platform primarily targets strong middle-market companies across various industries, including financial services, healthcare, professional services, manufacturing, and real estate. Guerino notes these organisations often have "meaningful insurance spend and relatively predictable loss experience," but may lack the scale, internal resources, or desire to capitalise and operate a separate insurance company.
For organisations looking to join the platform, the timeline to establish and operationalise a dedicated cell is typically 60 to 90 days, or quicker depending on the complexity of the programme and the readiness of the underlying insurance structure. Because the PCC is already licensed and established with the DC DISB, the process is significantly streamlined compared to forming a standalone captive insurer.
"Once the business plan, coverage structure, and capitalisation are agreed upon, the formation of an individual cell generally involves regulatory notification/approval, execution of participation and management agreements, and establishment of the cell’s financial and banking arrangements," Guerino adds.
He notes that while the announcement is recent, the firm has already seen interest from business partners and anticipates further discussions during CICA week at the CICA 2026 International Conference, currently being held at the JW Marriott Desert Springs Resort & Spa in Palm Desert, California.
KeyState provides community banks and middle-market companies with independent investment and insurance structures. The firm's captive solutions group has formed and managed more than 100 captive insurance companies. Based in Las Vegas, the firm also manages over US$20 billion in bond portfolios and has raised and deployed more than US$800 million through its SOLCAP solar tax credit platform.
