Agency of commerce and community development for the State of Vermont
Ahead of the VCIA Annual Conference, new director of financial services, Ian Davis, tells Becky Butcher how the state is working to be more appealing as a domicile without compromising its standards
Congratulations again on your new role. What are you currently working on?
Right now, I am gearing up for the Vermont Captive Insurance Association (VCIA) Annual Conference. There is a lot of preparation that goes into the event, including scheduling meetings with prospective captive owners, and I want to ensure that the state is well represented. I am looking forward to being as active and engaged as possible throughout the conference, meeting with potential captive owners, as well as captive managers and their clients who are looking at Vermont as a domicile.
What trends are you seeing in Vermont? Are you still seeing a lot of interest in the state?
Absolutely. It has been a great start to the year. At the end of 2016, Vermont had 26 new captives that were formed despite a soft market and competition. That momentum has continued and there remains an active pipeline of activity. In fact, we are expecting licensing figures to be at or over 1,100 by the start of the VCIA Annual Conference, with close to 600 active captives. Vermont is well-positioned to continue to benefit from the needs of the marketplace and, as always, we will continue to invest in this valuable and important industry.
How will Vermont’s new captive law to allow agency captives make the state more attractive?
Vermont’s agency captive legislation illustrates how the state is constantly looking to develop new, innovative ways to maintain and enhance our position as one of the best places to domicile your captive insurance company. In addition to the agency captive provision, the legislation allows broader accounting systems, expands dormant captives and clarifies risk retention governance standards.
In Vermont, we strive to maintain firm and fair regulation. We work in collaboration with the VCIA and the Department of Financial Regulation, as well as others to develop legislation that together we think will benefit the industry and make Vermont more appealing as a domicile without compromising our standards.
Last year, when we were preparing for the upcoming legislative session, president Richard Smith and his team at the VCIA were hearing the call for agency captives, so we looked at the opportunities and proposed the legislation.
This process also allows our state legislators to play an important role to help shape the future of the industry.
What are you most looking forward to about this year’s VCIA Annual Conference?
This will be my first VCIA Annual Conference, the industry’s premier event, so I am very excited. The conference really affords us the opportunity to showcase everything Vermont has to offer. Having now spoken with many past conference attendees, I understand the hot topics session with deputy commissioner Dave Provost to be one of the better educational opportunities—I am certainly looking forward to it.
