Vermont’s Act 77, signed on 24 March 2026, amends the state’s captive-insurance legislation with an effective date of 1 July 2026. The changes address financial reporting, risk retention groups and the signing of reports for protected cells. Employers with Vermont structures should examine the provisions applicable to their particular legal entity.
Match the requirement to the structure The legislation specifies reporting requirements for risk retention groups, including annual and quarterly statements using the relevant NAIC form, with a signed jurat and actuarial certification. Other provisions address alternative reporting dates for eligible captives and the people authorised to sign reports for different protected-cell forms. These requirements should not be presented as identical for every captive.
This editor recommends beginning the review with an entity map. The captive, any sponsored structure and its cells should be identified separately, together with their legal form and reporting responsibilities. A programme name used internally may cover several entities whose obligations differ.
Make the calendar operational The business can then assign responsibility for preparing, reviewing and submitting each required report. A compliance calendar is useful only if it identifies the information needed, the person supplying it and the approval dependency. Boards should be able to see which deadlines rely on actuarial or financial work that must be completed earlier.
Where an alternative reporting date is used, the organisation should check the conditions attached to that arrangement rather than assume that changing the financial year changes every filing deadline. Retaining the regulator’s approval and the applicable statutory provisions gives later reviewers a clearer account of the basis used.
Check the authority to sign Protected-cell reporting also requires attention to the appropriate signatories. The organisation should compare its records of officers and board authorisations with the relevant provision. Administrative familiarity with a report does not establish authority to sign it.
For employee-benefit captives, HR information may contribute to the reporting process, but it does not replace the financial and governance responsibilities of the captive’s officers and board. Teams should agree how benefit information reaches the people responsible for the report and how questions are resolved.
The practical response to Act 77 is a documented review of the applicable requirements, reporting calendar and signatory arrangements before commencement. The law provides the framework; the employer and captive must ensure that their operating process reflects the particular structure they use.
Sources: Source consultée [1]
Share this:
- More [3]
