Navigating Tennessee's Captive Insurance Landscape

In the latest IRMI Podcast episode, host Joel Appelbaum, chief content officer at IRMI and Captive.com, and guest Carter Lawrence, commissioner of the Tennessee Department of Commerce and Insurance, delve into the history, regulations, and future outlook of captive insurance in Tennessee. Commissioner Lawrence highlights Tennessee's emergence as a prominent captive insurance domicile since the overhaul of its captive insurance laws in 2011 and discusses challenges and trends facing the captive insurance industry, both nationally and within Tennessee.

Commissioner Lawrence points to the growing awareness of captives as a viable risk management tool, particularly amid market hardening and escalating cyber risks. He underscores Tennessee's responsiveness to industry needs, citing examples such as the establishment of the Tennessee Captive Insurance Company to enhance state property insurance efficiencies. Moreover, Commissioner Lawrence discusses ongoing efforts to streamline regulatory processes, including the proposal to hire in-house actuaries to bolster the department's capabilities in pricing and reserving.