New Vermont captive insurance legislation would allow incorporated protected cells

first_imgAfter a strong 2010 with the licensing of its 900th captive insurance company, the State of Vermont is proposing changes to the Captive Insurance law in the Legislature as part of its annual enhancements to its captive statute, according to the Department of Banking, Insurance, Securities and Health Care Administration (BISHCA).‘It is critical that we are responsive to the industry,’ said Governor Peter Shumlin. ‘Since 1981, when Vermont became a domicile, Governors and Legislatures have united in keeping us the gold standard for regulation of this industry and these proposals are in keeping with that tradition,’ he added.The proposed bill, H438, expands Vermont’s captive laws, to include allowing cells within a sponsored cell captive to be formed as incorporated protected cells. Vermont currently allows protected cells created by contract alone. ‘This presents another option for a cell owner in addition to cells created by contract alone,’ said David Provost, Deputy Commissioner of Vermont’s Captive Insurance Division. ‘We’ve heard from the captive industry that they wanted the option of having incorporated cells. This legislation does just that, without limiting any rights or protections afforded by cells created by contract.’Another component of the legislation will expand the potential types of companies that may be sponsors of cell structures. ‘This change will address the perceived restrictions regarding whom may be a cell owner and will reinforce that the insurance commissioner will have full discretion in deciding who may be a sponsor,’ said Dan Towle, Vermont’s Director of Financial Services.Another change has been proposed to create greater flexibility within cell structures. This change will eliminate the current restrictions on cell business. Business written by a sponsored captive will no longer be required to have it be fronted, reinsured or secured by a trust. This requirement will now be at the discretion of the commissioner.‘Vermont will continue to license quality companies that may be sponsors of cell structures. Any company that continues to meet our regulatory standards may be a sponsor and companies will now have greater flexibility in their structures and their ownership,’ said Provost. Vermont currently has 18 sponsored cell captives with approximately 100 individual cells.As in past years, Vermont’s newly licensed captives are off to a brisk pace in 2011. ‘We’ve already licensed two new captives and have seven applications in progress,’ said Towle. ‘We look forward to working with the Legislature to continue to strengthen Vermont’s captive regulations.’Vermont is the largest captive insurance domicile in the U.S. and the third largest in the world, with an excess of $17 billion in gross written premium estimated in 2010. Vermont is also home to 42 of the companies that make up the Fortune 100, and 18 of the companies that make up the Dow 30 have Vermont captives.Captive insurance is a regulated form of self insurance that has been around since the 1960’s, and has been a part of the Vermont insurance industry since 1981, when Vermont passed the Special Insurer Act. Captive insurance companies are formed by companies or groups of companies as a form of alternative insurance to better manage their own risk. Captives are typically used for corporate lines of insurance such as property, general liability, products liability, or professional liability. Growth sectors of the captive insurance industry include securitization, professional medical malpractice coverage for doctors and hospitals, and the continued trend of small and mid-sized companies forming captive insurance companies.Montpelier, VT, March 22, 2011 ‘ For more information on Vermont’s captive industry, visit www.VermontCaptive.com(link is external)last_img read more

Barcelona sack Ernesto Valverde and appoint Quique Setien

first_imgBarcelona have sacked coach Ernesto Valverde and replaced him with former Real Betis coach Quique Setien.Valverde, 55, helped the club to two successive La Liga titles and they lead on goal difference this season.However, the Catalan side have produced a series of unconvincing displays under his leadership and have failed to reach the Champions League final.Setien, 61, led Betis to their highest finish since 2005 and to the Copa del Rey semis before leaving in May.He has agreed to a two-and-a-half-year deal and will be presented to the media at 13:30 GMT on Tuesday.In a statement, Barca said they had reached an agreement with Valverde to terminate his contract and thanked him “for his professionalism, his commitment, his dedication and his always positive treatment towards all that make up the Barca family”.Setien’s success at BetisValverde was under pressure towards the end of last season following the ignominious Champions League semi-final defeat by Liverpool, having led 3-0 after the first leg, and the Copa del Rey final loss to Valencia.The defeat by the Reds particularly rankled, because it was reminiscent of the collapse at the hands of Roma in the competition the previous season and suggested he had failed to correct a weaknesses in his team.Valverde did guide the Catalans to the top of the table at the halfway stage of this season, but the fluid displays that fans had become accustomed to during the past 15 years were only sporadic.Their away form was especially disappointing with losses at Athletic Bilbao, Granada and Levante plus draws at Osasuna, Real Sociedad and Espanyol.Setien arrives at the Nou Camp as a highly-regarded coach.After managing lower-league sides, he led Las Palmas to 11th in La Liga – their best finish for 40 years – and enjoyed further success at Betis, where in his first season he led them to sixth place and qualification for the Europa League.Betis also secured wins over Barca, Real Madrid and Atletico Madrid during his two-year tenure. He left the Seville outfit by mutual consent in the summer.Former Barcelona midfielder Xavi had been strongly linked with the head coach’s role. He confirmed media reports that he spoke to the club’s sporting director Eric Abidal and chief executive Oscar Grau over the weekend, before he reportedly rejected the club’s offer,.Other names to have been linked with the club included former Tottenham manager Mauricio Pochettino, who managed rivals Espanyol, and current B team manager Xavi Garcia Pimienta. Source: BBClast_img read more