New Jersey Captive Market Update
On June 27, 2011 the New Jersey Department of Banking and Insurance approved its first captive insurance company, and licensed six captive insurers and one cell through December 31, 2012. There was much captive activity in 2013, 2014 and 2015 bringing the total NJ licensed captive insurers to 22 Many states are passing captive laws increasing the competition among captive domiciles; however from the start the Department has focused on NJ businesses and this continues to be an effective strategy for attracting companies to form their captives here. Recent inquiries indicate the interest in NJ as a captive domicile continues to be strong.
In 2015 New Jersey licensed its first captive insurer that is a member company in the Federal Home Loan Bank - New York ("FHLB-NY") and recently, the department granted regulatory approval for a captive formed by the Deborah Heart and Lung Center of Browns Mill, NJ.