Vermont H 649: An act relating to motor vehicle inspections

Bill Text

No. 77 Page 1 of 5
2026

VT LEG #388354 v.1
No. 77. An act relating to captive insurance companies.
(H.649)
Sec. 1. 8 V.S.A. § 6010 is amended to read:
§ 6010. LEGAL INVESTMENTS
* * *
(d) No risk retention group shall make a loan to or investment in its
members or affiliates of its members. This prohibition shall not apply to any
loan or investment in effect prior to January 1, 2026.
Sec. 2. 8 V.S.A. § 6007 is amended to read:
§ 6007. REPORTS AND STATEMENTS
(a) Captive insurance companies shall not be required to make any annual
report except as provided in this chapter.
(b) Prior to March 1 of each year, and prior to March 15 of each year in the
case of pure captive insurance companies, association captive insurance
companies, sponsored captive insurance companies, industrial insured captive
insurance companies, or agency captive insurance companies, each captive
insurance company shall submit to the Commissioner a report of its financial
condition, verified by oath of two of its executive officers or, in the case of a
captive insurance company formed as a limited liability company or as a
reciprocal insurer, of two individuals authorized by the governing board.
(c) Each captive insurance company shall report using generally accepted
accounting principles, statutory accounting principles, or international financial

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VT LEG #388354 v.1
reporting standards unless the Commissioner requires, approves, or accepts the
use of any other comprehensive basis of accounting, in each case with any
appropriate or necessary modifications or adaptations thereof required or
approved or accepted by the Commissioner for the type of insurance and kinds
of insurers to be reported upon, and as supplemented by additional information
required by the Commissioner. As used in this section, “statutory accounting
principles” means the accounting principles codified in the NAIC Accounting
Practices and Procedures Manual. Upon application for admission, a captive
insurance company shall select, with explanation, an accounting method for
reporting. Any change in a captive insurance company’s accounting method
shall require prior approval. Except as otherwise provided, each risk retention
group shall file its report in the form required by subsection 3561(a) of this
title, and each risk retention group shall comply with the requirements set forth
in section 3569 of this title.
(d) The Commissioner shall by rule propose the forms in which pure
captive insurance companies, association captive insurance companies,
sponsored captive insurance companies, and industrial insured captive
insurance companies shall report. Subdivision 6002(c)(3) of this title shall
apply to each report filed pursuant to this section, except that such subdivision
shall not apply to reports filed by risk retention groups.
(c)(e) On or before March 1 of each year, in a form and manner prescribed
by the Commissioner, each risk retention group shall file with the National

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VT LEG #388354 v.1
Association of Insurance Commissioners (NAIC) a copy of its annual
statement convention blank, the signed jurat page, the actuarial certification,
and any other additional filings prescribed by the Commissioner for the
preceding year. Any amendments and addendums to the annual statement
filing subsequently filed with the Commissioner shall also be filed with the
NAIC.
(f) Each year, in a form and manner prescribed by the Commissioner, each
risk retention group shall file with the NAIC a copy of the quarterly statements
exhibiting its condition and affairs for the period beginning on January 1 of the
current calendar year through and including the last day of the quarter for
which the report is being made. The first quarterly statement shall be filed on
or before May 15. The second quarterly statement shall be filed on or before
August 15. The third quarterly statement shall be filed on or before November
15. If any of the dates specified in this subsection falls on a day other than a
business day, then the quarterly statement is due on or before the first business
day preceding such date. Information filed with the NAIC shall include a jurat
page. A copy of any amendments and addendums to a quarterly statement
subsequently filed with the Commissioner shall also be filed with the NAIC.
(g) The Commissioner may adopt by rule additional filing requirements for
risk retention groups. All risk retention group annual and quarterly financial
statements shall be filed electronically with the NAIC.

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(h) Any pure captive insurance company, association captive insurance
company, sponsored captive insurance company, industrial insured captive
insurance company, or agency captive insurance company may make written
application for filing the required report on a fiscal year-end. If an alternative
reporting date is granted:
(1) the annual report is due 75 days after the fiscal year-end; and
(2) in order