DE HB86

Allows series captive insurance companies to assume reinsurance premiums and the associated tax liability from ceding captive insurers, eliminating double taxation on reinsured premiums while maintaining minimum tax obligations for both entities.

Exempts special purpose captive insurance companies formed as limited liability companies or statutory trusts from premium taxation when they do not collect direct premiums, assume reinsurance premiums, or maintain any insurance obligations during the entire calendar year.

Maintains annual minimum aggregate tax of $5,000 for standard captive insurers (maximum $200,000) and $3,500 for series captive insurance companies.

Takes retroactive effect to June 24, 2015, correcting an unintended consequence from House Bill No. 15 of the 148th General Assembly.