Bill Summary: HB 6388

• Establishes tax amnesty for insureds that establish a branch captive insurance company or transfer an alien/foreign captive insurance company to Connecticut by June 30, 2022, requiring payment of all outstanding taxes and interest for periods after July 1, 2018.

• Reduces minimum capital and surplus requirements for most captive insurance companies (e.g., pure captive from $250,000 to $50,000; association captive from $500,000 to $250,000) while maintaining $1 million requirement for risk retention groups.

• Authorizes foreign captive insurance companies to register and operate branch operations in Connecticut, allowing the commissioner to exempt certain branch companies from minimum capitalization requirements if financially stable.

• Extends examination frequency from at least every three years to at least every five years for captive insurance companies, and allows the commissioner to waive examinations entirely for pure captive insurance companies.

• Permits captive insurance companies to assume reinsurance from any insurer without restriction and extends dormancy certificate renewal periods from two to five years while reducing minimum capital for dormant companies from $25,000 to $15,000.