Company Licensing

Insurance Sub-term

Company Licensing Contacts

Main
 
 
(802) 828-2470
Karen Murphy
 
Director of Company Licensing and
Examinations
(802) 828-1959
Jesse Lussier
 
Administrative Insurance Examiner  
(802) 828-3690
Mitch Fried
 
Insurance Examiner
(802) 828-4850
Miranda Cloutier
 
Insurance Examiner-in-Charge
(802) 828-5335
KC Ng
 
Insurance Examiner
(802) 828-4844
Ellen Adams
 
Insurance Examiner
(802) 828-2470

 

Mailing address:    

Company Licensing
Insurance Division
VT Department of Financial Regulation
89 Main Street
Montpelier, VT  05620-3101

 

Instructions for Annual Filings

2016 Vermont Annual Financial Statement Filing Instructions & Forms for Traditional Insurance Companies

Below are forms for the period ending December 31, 2016 and for the first three quarters of 2017 for insurance companies required by statute to file with the department.  Included are forms for remitting Annual Statement filings and license (or authorization) renewal fees.

Please note:

The instructions on this page do NOT apply to Vermont Captive Insurers or Foreign Risk Retention Groups.  For annual filing instructions for Captive Insurers or Foreign Risk Retention and Risk Purchasing Groups, please click here.

INDEX OF 2016 FORMS FOR FILING IN 2017:

2016 - Section 1: General Instructions

2016 - Section 2:  Annual Fee Calculation 

    2A - Annual Fees for L&H, P&C, Health, Reciprocals, and Title Insurers

    2B - Annual Fees for Fraternal Benefit Societies

    2C - Annual Fees for Foreign Accredited Reinsurers

2016 - Section 3: Annual Statement Supplemental Report (ASSR)

2016 - Section 4: Vermont Mandatory Reporting (Liquor Liability Report)

2016 - Section 5: Checklists - Filings with Notes 

    5A - Life, Accident & Health

    5B - Property & Casualty, and Reciprocals

    5C - Health Entities (Insurers, HDMI's & HMO's)

    5D - Title Insurers

    5E - Fraternal Benefit Societies

    5F - Foreign Surplus Lines Insurers - no longer required

    5G - Foreign Accredited Reinsurers

           Regarding NRRA Federal Legislation

    5H - Alien Surplus Lines Insurers - no longer required

    5I - Alien Accredited Reinsurers

    5J - Certified Reinsurers

    5K - Life Settlement Providers

ADDENDUM

    Addendum to Health Insurer Annual Statement (Act 152)

    For Further Information, see Bill S.255 (Act 152)

Fee Schedule

All fees are subject to Vermont’s retaliatory fees law. It is the Company’s responsibility to report and pay the correct retaliatory fee.

Please see 8 V.S.A. §3367 and 32 V.S.A. §8555.

Fee Type
Law Reference Title 8 V.S.A.
Amount
Annual Statement Filings Fees:
Domestic Companies
§3314
$100
Foreign Companies
§3314
$100
Reciprocal Companies
§3314
$100
Surplus Lines Companies
§3314 
N/A
Reinsurers
§3314 
$100
HMO’s
§3314, §5102 (c)
$100
Hospital/Medical Service Corps
§3314
$100
Continuing Care Retirement Communities
 
No Fee
Fraternal Organizations
§4494
$20
Providers of Service Contracts
 
No Fee
Life Settlement Companies
 
No Fee
Licensing and Listing Fees (initial/renewal):
Alien Insurance Company
§3361
$300
Foreign Insurance Companies
§3361
$300
Reciprocal Companies
§3361
$300
Surplus Lines Companies (initial)
§5026 (a)1 1111111
N/A
Surplus Lines Companies (renewal)
§5026 (a)1  1
N/A
Reinsurers (initial)
§3634 a(d)(f) 
$500
Reinsurers (renewal)
§3634 a(d)(f)
$200
HMO’s
§5102 (c)
$300
Hospital/Medical Service Corporations
 
No Fee
Continuing Care Retirement Communities
 
No Fee
Fraternal Organizations
§4484
$300
Rate Service Organizations (initial)
§4690 (d)(1)(A)
$1,000
Rate Service Organizations (renewal)
§4690 (d)(1)(A)
No Fee
Premium Financing Companies
§7002 (b)
$200
Providers of Service Contracts
§4248
$600 Every 3 years
Life Settlement Companies (initial)
§3836 (a)(2)
$400
Life Settlement Companies (renewal)
§3836 (a)(3)
$400 Biennially
Application Fees:
Domestic Insurer
 
No Fee
Alien Insurance Company
§3361
$200
Foreign Insurance Company
§3361
$200
Reciprocal Insurance Company
§3361
$200
Surplus Lines Companies
 
N/A
Reinsurers
 
No Fee
Providers of Service Contracts
§4248
$600
HMO’s
§5102 (c)
$200
Fraternal Organizations
 
No Fee
Continuing Care Retirement Communities
§8016
$1,500
Premium Finance Companies
 
No Fee
Life Settlement Companies
§3836 (a)(2)
$50
Registration of CPA’s for Domestic Companies
§3579 (b)
$100
Miscellaneous Fees:
Photocopy
1 V.S.A. §31
$.10 per page after 10
Certificates of Compliance Certificates of Good Standing
Certified Documents
32 V.S.A. §1762
$2.00 per item
Examination Fees
§3563-Domestic
§3564-Foreign/Alien
§8016 (c)-CCRC
§3840-Life Settlements
§4496-Fraternal
§5105-HMO’s
§4832-Reciprocals
As incurred
Fines
Numerous
As ordered by the Commissioner

 

Accredited Reinsurer

NRRA Accredited Reinsurer/Credit for Reinsurance

Federal legislation known as the Non-Admitted and Reinsurance Reform Act of 2010 (NRRA) became effective July 21, 2011.  The following clarifies Vermont’s accreditation and filing requirements for assuming companies.

Reinsurers Assuming Risks from Vermont Domestic Insurance Companies

Credit for reinsurance is only allowed on the Annual Statement of a Vermont Domestic insurance company if the assuming insurer meets the requirements set forth in Reg 97-3.

Reinsurers Assuming Risks from Foreign Companies, Licensed in Vermont

Credit for reinsurance is allowed on a foreign ceding company’s annual statement filed with DFR when the ceding company’s domestic state is NAIC accredited and has allowed said credit under that state’s credit for reinsurance laws.  Accordingly, an assuming insurer of an insurer foreign to Vermont is not required to apply for accreditation in Vermont or complete any Vermont specific filings.  We rely entirely on the ceding company’s domestic state regulator regarding appropriate credit for reinsurance.

 

Application Procedures

For Accredited Reinsurer application criteria, please see 8 V.S.A. § 3634a. Credit for reinsurance (d).

Transfer and Assumption Transactions

Insurers contemplating transactions regarding a transfer & assumption of insurance contracts wherein a novation of existing or in-force contracts is intended, must seek the prior approval of the Commissioner per 8 V.S.A. §8204(e-g) with reference to 8 V.S.A. §8204(h)(1-4) and have all of the related forms approved prior to use per 8 V.S.A. §8204(a), (h)(5) and/or §8207(d-e).

Certain transactions are excluded as reflected in 8 V.S.A. §8202(b) and §8207(b): mergers, liquidations or rehabilitations, guarantee association transactions, and troubled companies.

 

Transaction Approval Request (8 V.S.A. §8204(e-g))

A. Receipt of Request: All requests and the supporting documentation for the Commissioner’s approval of a transfer or assumption transaction will not be considered “forms filings” and shall be forwarded to the Company Licensing Section. An acknowledgment of receipt will be provided to the requesting organization.

B. Evaluation: The Director of Company Licensing will evaluate the request with reference to the criteria provided in the statute (8 V.S.A. §8204(h)(1-4)) and any other criteria that might be appropriate under the circumstances. The decision will be made within ten (10) days of receipt.

C. Decision Letter: The Director will send a letter to the requesting organization, with a copy to the appropriate Rates & Forms section describing the transaction and the decision (approval or denial). The letter will be sent within five (5) days of the decision. The letter will advise the involved companies of their need to receive approval from the appropriate Rates and Forms section.

 

Rates and Forms Approval Request (8 V.S.A. §8204(a), (h)(5) and/or §8207(d-e))

A. The transferring insurer shall provide the following proposed forms for review (8 V.S.A. §8207(a)):

1. Notice of transfer to policyholder;

2. Notice of transfer to insurer’s agent or broker;

3. Response Card;

4. Assumption Certificate;

5. Premium or other notice regarding policyholder rights associated with “Op-Out” option.

All forms must be approved prior to use.

Company Licensing

The Vermont Insurance Division oversees and regulates the insurance industry in Vermont.  The Company Licensing Section monitors the financial stability of both domestic and foreign insurers licensed in Vermont.  In addition, the Section licenses or authorizes new insurers to do business in the state.

The Section's objective is two-fold:

  • To detect, as early as possible, the financial deterioration of insurers, which may lead to the restriction of a company’s authority to do business, thereby minimizing financial loss to policyholders and/or the Vermont Guaranty Associations; and
  • To license or authorize new insurers that meet the needs of Vermont policyholders, as well as the criteria for licensing.

 Please note the above does not pertain to Vermont Captive insurers or foreign risk retention groups.

**NEW DEPARTMENT BIOGRAPHICAL AFFIDAVIT POLICY**

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