Connecticut Domicile Information
DomicileConnecticut
Captives2
CapitalizationMinimum capital and surplus requirements: pure captive, $250,000; association captive, $500,000; industrial insured captive, $500,000; risk retention group, $1 million; sponsored captive $500,000; special-purpose financial captive, $250,000' sponsored captive licensed as a special-purpose financial captive, $500,000.

Premiums to Surplus: None at this time; commissioner may adopt regulations in accordance with Chapter 54 of the Connecticut General Statutes to establish additional capital and surplus requirements based upon the type, volume and nature of the insurance business transacted.
Registration & Incorporation ExpensesApplication Fee: Nonrefundable application fee of $800. Additional costs associated with processing the application may be billed. Fee for initial license, $375. Annual license renewal fee, $375.
Investment Restrictions 
Tax IssuesPremium Tax Structure for Captive Insurance Companies, domiciled in the State of Connecticut

Tax rates on direct written premium: 0.380% on first $20 million; 0.285% on next $20 million; 0.190% on next $20 million; 0.072% thereafter.

Tax rates on assumed premium (Reinsurance Assumed): 0.214% on first $20 million; 0.143% on next $20 million; 0.048% on next $20 million; 0.024% thereafter.

For a captive insurance company domiciled in the State of Connecticut the annual taxes for direct premiums written are subject to a minimum of $7,500 per year, and a maximum aggregate premium tax of $200,000 per year for both direct and assumed premiums.

Under the new law, a captive licensed on or after Jan. 1, 2012, is eligible to receive a non-refundable tax credit of $7,500 for the captive's first taxable year. The revenue services commissioner must prescribe the form and manner in which the credit may be claimed.
Applicable ActsConnecticut General Statues CHAPTER 698 INSURERS, Sec. 38a-91k; Sec. 38a-91aa to 38a-91tt inclusive. Sec. 56-73 of Public Act 11-1, An Act Promoting Economic Growth and Job Creation in the State.
Tax Treaties 
Supervisory Jurisdiction 
Reporting Requirements 
Reserve & Underwriting Requirements 
Local Office Requirements 
Estimated Number of Captives4
Domicile URL
StatusActive
NewsJohn C. Thomson, manager, captive insurance programs
State of Connecticut Insurance Department
153 Market St., Seventh Floor
Hartford, Conn. 06103
860-297-3995
www.ct.gov/cid