Delaware House Bill 334 was signed by the governor and became effective on October 16, 2018. The bill authorizes the Insurance Commissioner to issue conditional certificates of authority to captive insurance company applicants, which authorizes the captive insurance company applicant to conduct business while the Insurance Commissioner completes the review of the application materials. Conditional certificates of authority will be issued only upon receipt of evidence of the minimum capital and surplus required by Chapter 69 and a certification from the captive owner that the application materials comply with the requirements of Chapter 69. A captive insurance company granted a conditional certificate of authority must pay the Insurance Commissioner a fee of $100.
The bill also authorizes the Insurance Commissioner to summarily revoke a conditional certificate of authority if the Commissioner determines that the captive insurance company has failed to comply with the licensing requirements of Chapter 69. During the period of the conditional certificate of authority, the captive insurance company shall comply with and be subject to Chapter 69.
In addition, the bill makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.
To view the entire bill: DE HB 334