Citadel Risk has opened a new incorporated cell captive company in Tennessee, Citadel Tennessee Captive Insurance Management.
As part of the new company, Citadel Management Bermuda will become a licensed captive manager, pending final approval from the Tennessee regulators.
According to Tony Weller, group CEO of Citadel Risk, the company decided on Tennessee because of its familiarity with the state regulators.
Weller said: “We were very comfortable with the fair and balanced oversight that they provide to the captive insurance industry there. At the end of the day it’s about providing the best protective structure that we can for clients who would be interested in renting cells in the Tennessee company. With a protected cell structure and a separate incorporated legal identity for each cell it will be simple to make filings for 831(b) status for a cell.”
He added: “Not only can the Citadel Risk Group provide consulting services and management services, its Citadel Re company can provide excess insurance placements and aggregate stop loss coverages. In some circumstances Citadel Risk even provides fronting company services through one of its US admitted insurers.”
