Delaware House Bill 314 (Prior Session Legislation)

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Completed Legislative Action
Spectrum: Moderate Partisan Bill (Democrat 6-1)
Status: Passed on May 3 2010 - 100% progression
Action: 2010-05-03 - Signed by Governor
Text: Latest bill text (Draft #1) [HTML]

This legislation amends chapter 69 of title 18 of the Delaware Code by adding two types of captive insurance companies to those that can currently be licensed in Delaware. The two new forms of captive insurance companies are “agency captive insurance companies” and “branch captive insurance companies.” Agency captive insurance companies are reinsurance companies owned by insurance agents or brokers who underwrite and place insurance policies for conventional insurance companies. In an agency captive structure, the insurance risk on some of these policies is reinsured to the agency captive, thereby allowing the agents or brokers that placed the policies to share in the profits or losses attributable to these policies. Branch captive insurance companies are divisions of offshore captives that establish a business unit onshore. Many U.S. based companies have captive insurers organized in offshore jurisdictions such as Bermuda. In recent years, it has become attractive to issue certain coverages through the offshore captive insurers owned by these employers yet have these coverages regulated by an onshore insurance regulator. The solution is to bring an operating division of the captive – the branch – to the onshore jurisdiction and regulate this division in many respects as if it were a standalone entity. By adding agency and branch captive insurance companies to the list of captive insurance companies authorized in Delaware, this legislation will enhance the economic development potential of Delaware’s captive insurance laws. Section 11 of this legislation makes a technical change to the delinquency provisions applicable to sponsored captive insurance companies.

An Act To Amend Title 18 Relating To Captive Insurance Companies.

Rep. Edward Bennett [D]	Sen. Patricia Blevins [D]	Sen. Catherine Cloutier [R]	Sen. Bruce Ennis [D]
Sen. Margaret Henry [D]	Rep. Bryon Short [D]	Sen. David Sokola [D]

2010-04-27 - House - House Third Reading (Y: 39 N: 0 NV: 0 Abs: 2) [PASS]
2010-04-22 - Senate - Senate Third Reading (Y: 19 N: 1 NV: 0 Abs: 1) [PASS]
2010-03-16 - House - House Third Reading (Y: 40 N: 0 NV: 0 Abs: 1) [PASS]

Date	Chamber	Action
2010-05-03		Signed by Governor
2010-04-27		Passed by House of Representatives. Votes: Passed 39 YES 0 NO 0 NOT VOTING 2 ABSENT 0 VACANT
2010-04-22		Passed by Senate. Votes: Passed 19 YES 1 NO 0 NOT VOTING 1 ABSENT 0 VACANT
2010-04-22		Amendment SA 1 - Passed by Senate. Votes: Passed 20 YES 0 NO 0 NOT VOTING 1 ABSENT 0 VACANT
2010-04-22		Amendment SA 1 - Introduced in Senate
2010-04-21		Reported Out of Committee (INSURANCE) in Senate with 5 On Its Merits
2010-03-23		Assigned to Insurance Committee in Senate
2010-03-16		Passed by House of Representatives. Votes: Passed 40 YES 0 NO 0 NOT VOTING 1 ABSENT 0 VACANT
2010-01-27		Reported Out of Committee (ECONOMIC DEVELOPMENT/BANKING/INSURANCE/COMMERCE) in House with 6 Favorable, 1 On Its Merits
2010-01-26		Introduced in House and assigned to Economic Development/Banking/Insurance/Commerce Committee
2010-01-26		Assigned to Economic Development/Banking/Insurance/Commerce Committee in House

Type	Source
Summary	http://legis.delaware.gov/LIS/lis145.nsf/2bede841c6272c888025698400433a04/2c3af3584c8d59a3852576b0004bce03?OpenDocument
Text	http://legis.delaware.gov/LIS/lis145.nsf/vwLegislation/HB+314/$file/legis.html?open
Roll Call	http://legis.delaware.gov/LIS/lis145.nsf/7712cf7cc0e9227a852568470077336f/360b840fe2a52081852576e8006bd857?OpenDocument
Roll Call	http://legis.delaware.gov/LIS/lis145.nsf/7712cf7cc0e9227a852568470077336f/a55286d5007f4a918525770d0074b66b?OpenDocument
Roll Call	http://legis.delaware.gov/LIS/lis145.nsf/7712cf7cc0e9227a852568470077336f/3e80e76d85ad032485257712006d904a?OpenDocument