DE HB412

Creates a new "dormant captive insurance company" classification for captive insurers that collect no direct or reinsurance premiums and have no active insurance obligations during an entire calendar year

Reduces capital and surplus requirements for dormant captive insurance companies to $25,000 (compared to higher requirements for active captives)

Exempts dormant captive insurance companies from premium taxes, annual statement filings, audited financial statements, and actuarial opinion requirements

Imposes escalating license renewal fees if a company remains dormant beyond 5 years: $25,000 in year six, then $5,000 for each subsequent year of dormancy

Allows dormant captives to continue settling claims from policies issued before becoming dormant, and requires written notice to the Commissioner before resuming active insurance business