North Carolina's Captive Insurance Sector Continues To Grow

North Carolina's captive insurance industry continues to expand, with more than 1,600 risk-bearing captive entities licensed or approved since the state passed its Captive Insurance Act in 2013, according to an announcement from Insurance Commissioner Mike Causey.

"Businesses with unique insurance needs are finding North Carolina a great place to conduct business through its Captive Insurance Program," Commissioner Causey said. "We're excited by the continued growth of our captive program and welcome the innovation that service providers bring to address emerging risks in the industry."

As of the end of 2024, the North Carolina Department of Insurance regulated 1,064 captive insurance entities, including 293 captive insurance companies and 771 cells and series. Last year, the state licensed 33 new captive insurers along with approximately 70 cells and series.

A cell or series operates within a larger captive structure but maintains segregated assets and liabilities.

By the close of 2024, North Carolina had 212 pure captive insurers domiciled in the state, along with 49 protected cell captive insurers, 9 risk retention groups, and 23 special purpose captive insurers. Newly licensed captives represent a range of industries, including financial services, transportation, health care, construction, and manufacturing.

The state continues to attract captives transferring from other domiciles, supported by flexible regulatory oversight that allows regulators to meet evolving risk management needs, according to the announcement.

The statement also indicated that signs point to another strong year for North Carolina's captive industry, as more businesses turn to captives to manage risk in a hardening insurance market. Many seek customized coverage, greater control over their risk management strategies, and cost-effective access to reinsurance.

For further information about the North Carolina Captive Insurance Program, email Deputy Commissioner Lori Gorman or visit the North Carolina Department of Insurance Captive Insurance website.