Missouri licensed 10 new captive insurance companies last year, an increase on the eight captives licensed in 2017.
Statistics from the Missouri Department of Insurance, Financial Institutions and Professional Registration revealed that four captives surrendered their licences due to relocation or closure in 2018, the same number as in both the two previous years.
The net growth in the number of total captives last year was six, meaning at year-end 2018, there were 72 captives licensed in Missouri, 54 of which were active.
Of the 54 active captives, 39 were pure captives, 12 were special purpose life reinsurance captives, two were branch captives and one was an association captive.
John Talley, captive programme manager, Division of Insurance Company Regulation, Missouri Department of Insurance, Financial Institutions and Professional Registration, commented: “Last year was a solid year for the Missouri captive programme.”
Talley explained that the growth will mean an increase on the $1.8 billion in premium taxes collected by the captive programme in 2017.
He said: “The new companies should increase the gross premium production over the 2017 amount of $3.9 billion. This will also mean an increase in the premium taxes collected.”
Talley added: “I believe that 2019 will be another good year for Missouri. We have already licensed one captive.”
“I have been in conversations with several brokers and consultants who have clients who are interested in forming a captive insurance company in the state.”
