Because of a surge in captive formations, Oklahoma's captive count has risen. At the end of 2023, Oklahoma had 60 captives, up from 52 in 2022.
"Thanks to Insurance Commissioner Glen Mulready's unwaivering support, Oklahoma's captive insurance program continues to grow. One example of the growth is the total premium increase of captives went from $300 million in 2022 to $403 million in 2023," said Oklahoma Captive Insurance Director Steve Kinion.
"Our Captive Insurance Division's dedication and efficient regulation of captive insurance companies have helped raise awareness about captive insurance in Oklahoma," Mr. Kinion added.
In addition, Oklahoma's captive statute has many appealing features, Mr. Mulready noted.
For example, while single-parent captives have to maintain at least $250,000 in capital and surplus, only $150,000 has to be contributed at the time the captive is being licensed, with the remaining $100,000 to be paid on or before the first anniversary of the issuance of the initial license.
Capital and surplus requirements for other captives include $250,000 for branch captives, $500,000 for sponsored captives, $750,000 for trade association captives, and $1 million for risk retention groups.
The tax rate on direct premiums is .2 percent of 1 percent, with annual captive premium taxes capped at $100,000. A $5,000 minimum annual premium tax is assessed.
Unlike many other domiciles, Oklahoma does not require captive insurance companies to have annual in-state meetings, and a captive's manager does not have to be based in the state.
Any change in a captive's business from what is stated in its plan of business filed with the Oklahoma insurance commissioner requires prior approval by the commissioner.
Captives also are required to file with the insurance commissioner annual financial reports, verified by two of their financial officers, by March 1.
Oklahoma teams up every year with the Missouri, Nevada, and Utah captive associations to host the Western Region Captive Insurance Conference (WRCIC). The 2025 conference will be held May 19–21 at the Salt Lake Marriott Dowtown at City Creek in Salt Lake City, Utah.
For more information about the conference, contact the WRCIC at (775) 283–4237, or email at [email protected].
