(a) A Single-Parent Captive Insurer shall be incorporated as a stock insurer with its capital divided into shares and held by the stockholders.
(b) An Association Captive Insurer or an Industrial Insured Captive Insurer may be incorporated:(1) as a stock insurer with its capital divided into shares and held by the stockholders; or(2) as a mutual insurer without capital stock, the governing body of which is elected by its member organizations or the members of its association.
(1) as a stock insurer with its capital divided into shares and held by the stockholders; or
(2) as a mutual insurer without capital stock, the governing body of which is elected by its member organizations or the members of its association.
(c) A captive insurer shall have not less than three incorporators, of whom not less than one shall have been a resident of the Virgin Islands for a minimum of one year.
(d) Before the articles of incorporation are transmitted to the Office of the Lieutenant Governor, the incorporators shall petition the SAM to issue a certificate setting forth his finding that the establishment and maintenance of the proposed captive insurer will promote the general good of the Virgin Islands. In arriving at such finding the SAM shall consider:(1) the character, reputation, financial responsibility, insurance experience, and business qualifications of the officers and directors of the company; and(2) such other aspects as the SAM shall deem appropriate.
(1) the character, reputation, financial responsibility, insurance experience, and business qualifications of the officers and directors of the company; and
(2) such other aspects as the SAM shall deem appropriate.
(e) The articles of incorporation, such certificate, and the organization fee shall be presented to the SAM which shall thereupon file both the articles of incorporation and the certificate with the Office of the Lieutenant Governor-Division of Corporations and Trademarks.
(f) The capital stock of a captive insurer incorporated as a stock insurer shall be issued at not less than par value, if so stated.
(g) At least one of the members of the board of directors of an captive insurer incorporated in this Territory shall have been a resident of the Virgin Islands for a minimum period of one year.
(h) Any captive insurer formed under the provisions of this chapter shall be organized in accordance with, and shall have the privileges and be subject to the provisions of the General Corporation Law, Title 13, Chapter 1, Virgin Islands Code, as well as the applicable provisions contained in this chapter. In the event of conflict between the provisions of said General Corporation Law, Title 13, Chapter 1, Virgin Islands Code, and the provisions of this chapter, the provisions of this chapter shall govern. The provisions of Title 22 of the Virgin Islands Code pertaining to dissolutions, mergers, consolidations, conversions, and mutualizations shall apply in determining the procedures to be followed by captive insurers formed under this chapter in carrying out any of the transactions described therein, except that the SAM may waive or modify the requirements for public notice and hearing in accordance with rules which the SAM may adopt.
(i) The SAM and the Office of the Lieutenant Governor, Division of Corporations and Trademarks, shall coordinate the various filings in their respective offices with the objective of finalizing the various applications for licenses and other requests for approvals so that the captive insurer or Branch Exempt Captive Insurer is formed as expeditously as possible.