Tennessee Captive Insurance Director Honored With National Insurance Award

Wednesday, August 12, 2015 | 08:54am

NASHVILLE – The Tennessee Department of Commerce and Insurance (TDCI) is proud to announce that Captive Insurance Section Director Michael Corbett was named Captive Professional of the Year during the U.S. Captive Services Awards ceremony Monday in Burlington, Vermont.

Sponsored by London-based Captive Review magazine, the global captive insurance awards are open to all U.S. states with active captive legislation. Now in their fourth year, the awards recognize and reward those captive insurance providers who have excelled during the past year.

The judges wrote: “Michael Corbett has led a team of highly-skilled and dedicated analysts in the business of reviewing and licensing new entities in their state. Over the past five years, there have been a number of headline grabbing emerging onshore domiciles, but this particular regulator’s dedication and consistent commitment to the industry has drawn admiration and praise from across the captive spectrum. His department licensed 42 new captives in 2014, including a range of captive types and sizes and he is almost always present at every captive related gathering on the circuit; demonstrating his commitment to the task at hand.”

A captive insurance company represents an option for many corporations and groups who want greater control over their financial risks by underwriting their own insurance instead of paying premiums to third-party insurers. In Tennessee, the Tennessee Department of Commerce and Insurance’s (TDCI) Captive Insurance Section is responsible for regulating the state’s captive insurance industry.  Tennessee was shortlisted for the Domicile of the Year award.

“Michael’s win as Captive Professional of the Year further tells the world that Tennessee is solidifying its role as a force in captive insurance,” said TDCI Commissioner Julie Mix McPeak.  “With the full support of Governor Bill Haslam, Tennessee’s captive statute was revised to create effective, flexible and balanced regulations that are focused on a business mindset and marketplace needs. We congratulate all of this year’s winners.” 

Though Tennessee’s captive insurance regulation has been in place for decades, the state revamped its captive insurance regulations in 2011. Since then, Tennessee has become home to 300 risk-bearing entities (82 captive insurance companies and 218 cell companies). In FY 15-16, revenues for captive insurance will grow in Tennessee to approximately $2.3 million from $1.3 million in FY 14-15. Projections show Tennessee collecting $4 million in FY 16-17.

Earlier this year, the Revised Tennessee Captive Insurance Act of 2011 was revised for the second time. These recent changes, which include the potential creation of workers compensation captives in Tennessee, are expected to further strengthen Tennessee’s burgeoning reputation as a first rate-domicile for captive insurance companies.

“I am humbled and honored by this award,” said Corbett. “We must continue to improve Tennessee’s captive insurance statute, ensuring that it stays relevant to the changing needs of the business marketplace. We must maintain a regulatory staff that has a sterling reputation as knowledgeable, experienced and supportive. We must support the service provider industry as it continues to expand across Tennessee.”