Oklahoma Captive Insurance Program Achieves 31% Net Gain in 2023

Oklahoma’s captive insurance program reported a 31% net gain in 2023, the Oklahoma Insurance Department said.

OID issued 20 new licenses in 2023 with six dissolutions, resulting in a net gain of 14 new captive insurers. Oklahoma’s total number of captive insurers rose to 59 as of Dec. 31, 2023.

Oklahoma Insurance Commissioner Glenn Mulready credited Captive Insurance Director Steve Kinion and Captive Insurance Analyst Victor Gallardo for growing the state’s captive insurance presence.

“They exemplify having a firm but fair approach to captive insurance regulation,” Mulready said.

Oklahoma’s captive insurance program includes 34 pure captive insurers, one association captive insurer, 14 special purpose captive insurers, two sponsored captive insurers, four entity-protected (incorporated) cells, one protected cell, and three series captive insurers. Additionally, while not part of the licensing process, Oklahoma tracks the federal tax election made by the captive insurers. Of the 59, 16 opted for the Internal Revenue Code section 831(b) election, while 43 chose the section 831(a).

For the first time, the OID’s captive insurance program achieved finalist status in 2023 for the Captive Review’s Captive Domicile of the Year in the category of gross written premiums less than $5 billion.

Source: OID

Topics Oklahoma