Staff Report
Published Feb. 19, 2009
The S.C. Department of Insurance announced that is has issued its 200th license to a captive insurance company.
The license to Hardin Construction Company of Atlanta marked a milestone in a program that state officials have sought to expand in recent years. South Carolina began licensing captive insurance companies in 2000, and the industry has grown quickly since then.
A captive insurance company is one that is owned by a parent company or association to underwrite its specific insurance needs. Parent companies that form captive insurance companies retain the risk of their insurance, but they also retain the potential for return instead of sending premiums elsewhere.
Last year the department said the captive insurance industry has brought a $20 million economic benefit to South Carolina. The industry brought the state about $3.5 million in premium taxes in 2006.
“We are proud of our captive program and look forward to seeing it continue to flourish,” said Scott H. Richardson, Director of Insurance.
The department celebrated the 200th license at a dinner in Charleston on Feb. 5.
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