The Pennsylvania Captive Insurance Application is the licensing package every captive insurer must submit to the Pennsylvania Insurance Department before it can write a single policy in the Commonwealth. It is filed with the Bureau of Company Licensing and Financial Analysis under the Pennsylvania Captive Insurance Company Act, 40 P.S. §§ 6001–6017, and it covers pure, association, industrial insured, special purpose, branch, and risk retention group captives.
Getting one box wrong can cost you months. The Department reports that incomplete captive applications are the single largest reason for licensing delays, and the average review takes 60 to 90 days when filings are clean — closer to 6 months when they are not, and the domestic company license application fee of \$2,500 is non-refundable.
- 📋 The exact line-by-line walkthrough of every section of the captive application
- 💰 The capital, surplus, and fee numbers you must hit before you file
- 🧾 Three real-world filled-out examples for a manufacturer, a hospital system, and a private equity sponsor
- ⚖️ The statutes, regulations, and NAIC forms that control your filing
- 🚫 The 10 most common mistakes that get captive applications rejected
What the Pennsylvania Captive Insurance Application Is and Who Must File It
The Pennsylvania Captive Insurance Application is the formal request for a Certificate of Authority to operate as a captive insurer domiciled in Pennsylvania. The application package, anchored by the Department’s Captive Insurance Company Application (most recent revision available on the Apply for or Renew a Company License page), is required by 40 P.S. § 6002 before any captive may transact insurance business in the Commonwealth. It is reviewed by the Bureau of Company Licensing and Financial Analysis, and the Insurance Commissioner has final approval authority.
Any company that wants to insure the risks of its parent, affiliates, members, or industrial insureds must file. That includes a pure captive owned by one parent company, an association captive owned by a trade group, an industrial insured captive serving large commercial buyers, a special purpose captive used for finite or structured risk, a branch captive of an alien captive insurer, and a risk retention group chartered as a captive under the federal Liability Risk Retention Act of 1986. Each captive type has its own capital floor, its own permitted lines, and its own version of the Plan of Operation.
The filer is almost always one of three people. It is the parent company’s CFO or treasurer, the captive manager hired to run the entity, or outside counsel coordinating the formation. The Department expects the application to be signed by an officer of the proposed captive and accompanied by sworn biographical affidavits from every director, officer, and key employee.
If you skip this filing and write coverage anyway, you are an unauthorized insurer under 40 P.S. § 46, every policy is voidable at the insured’s option, and the Department can impose civil penalties and refer the matter for criminal prosecution. The application is not optional, and there is no de minimis exception for small captives.
Before You Start: Documents and Information You Need
Captive applications fail because filers open the form before they have gathered the supporting exhibits. Pull every document below into a single bookmarked PDF before you touch the application itself, because the Department’s filing checklist treats missing exhibits as grounds for return without review.
- Articles of Incorporation and Bylaws — proves the captive is a Pennsylvania business entity registered with the PA Department of State Corporation Bureau; without them, the Department cannot confirm legal existence and will reject the filing.
- Certificate of Good Standing — issued by the Department of State no more than 60 days before filing; a stale certificate triggers a deficiency letter and a 30-day cure window.
- Plan of Operation — the narrative business plan describing lines, limits, retention, reinsurance, and 5-year pro forma financials; missing pro formas is the #1 cause of delay.
- Actuarial Feasibility Study — signed by a Member of the American Academy of Actuaries, opining on premium adequacy and reserves; without it, the Commissioner cannot make the §6004 financial soundness finding.
- NAIC Biographical Affidavits (Form 11) — one notarized affidavit per director, officer, and 10%+ owner, with NAIC’s third-party verification completed.
- Proof of Capital and Surplus — bank letter, escrow agreement, or letter of credit showing the statutory minimum is funded; the Department will not issue a certificate until funds are verified.
- Investment Policy Statement — describes how reserves will be invested under 40 P.S. § 6008; a missing IPS leads to a Plan of Operation rejection.
- Reinsurance Treaties or Term Sheets — drafts are acceptable, but the ceding structure must match the pro formas; mismatches force a refile.
- Organizational Chart — shows parent, affiliates, and the captive’s place in the group; required so the Department can identify covered insureds under §6001.
- \$2,500 Application Fee — the non-refundable domestic company license application fee, payable to the “Commonwealth of Pennsylvania.”
Where to Get the Form and How to Access It
The official Pennsylvania Captive Insurance Application is hosted on the Apply for or Renew a Company License page maintained by the Department. The Department updates the form periodically, so always download a fresh copy the week you intend to file and confirm the revision date printed in the footer matches the current posted version.
The application is a fillable PDF. You can complete it in Adobe Acrobat, Foxit, or any reader that supports form fields. The Department also accepts a clean retyped Word version that mirrors the field labels exactly, which is helpful for long Plan of Operation narratives that exceed the PDF’s character limits.
The companion Plan of Operation template, NAIC Biographical Affidavit (Form 11), and the Uniform Consent to Service of Process (UCAA Form 12) are downloaded separately. The biographical affidavit and consent forms come from the NAIC’s Uniform Certificate of Authority Application library. The Department recognizes UCAA forms for captive filings even though captives are not technically UCAA filers.
If the Department’s site is down or the link is broken, call the Bureau of Company Licensing at (717) 787-2735 or email ra-in-companylicense@pa.gov to request the current packet by email. Never use a third-party blog’s copy of the form, because revision dates change and outdated versions are rejected on intake.
Step-by-Step: How to Fill Out the Pennsylvania Captive Insurance Application Line by Line
The application is organized into ten sections. Work top to bottom, do not leave any field blank, and write “Not Applicable” in any field that does not apply rather than leaving white space. The Department treats blank fields as incomplete answers under 31 Pa. Code Chapter 161.
Section 1, Box 1: Proposed Name of Captive Insurer
This field asks for the exact legal name the captive will use on its Articles of Incorporation and its Certificate of Authority. Type the full name in capital letters with the corporate designator (Inc., Corp., LLC) included, and confirm the name is available by running it through the PA Department of State business name search before you file.
For example, KEYSTONE STEEL CAPTIVE INSURANCE COMPANY, INC. is the entry Maria Lopez, CFO of a Pittsburgh steel fabricator, would write. The name must include “Insurance,” “Assurance,” “Indemnity,” or another approved insurance designator under §6003.
A common nuance is parent-name reuse. If your parent is “Keystone Steel Holdings,” you cannot name the captive “Keystone Steel Insurance” without written consent from the parent attached to the application. The most common mistake is choosing a name that is deceptively similar to an existing PA insurer, which triggers a name rejection letter and forces you to refile after a board vote on a new name. A misconception is that reserving a name with the Department of State also reserves it with the Insurance Department — it does not, and you need both clearances.
Section 1, Box 2: Type of Captive
This field asks which of the six statutory captive categories under 40 P.S. § 6001 you are forming. Check exactly one box: pure captive, association captive, industrial insured captive, special purpose captive, branch captive, or risk retention group.
A correct entry looks like ☒ Pure Captive for a single-parent captive owned by a manufacturer. Aisha Patel, treasurer of a regional hospital system, would instead check ☒ Association Captive because her captive is owned jointly by 12 affiliated hospitals.
The nuance is that you can convert later, but conversion requires a fresh filing under §6011, so pick carefully. The most common mistake is checking “Pure Captive” when affiliates outside the consolidated tax group will be insured, which fails the pure captive definition and forces a withdrawal and refile as an industrial insured or special purpose captive. The misconception is that pure captives can insure unrelated third parties — they cannot, and doing so revokes the certificate.
Section 1, Box 3: State of Incorporation and Date
Enter “Pennsylvania” and the date your Articles of Incorporation were filed with the PA Department of State, formatted MM/DD/YYYY. The date must be on or before the application date, because you cannot apply for a captive license for an entity that does not yet legally exist.
For example, Pennsylvania, 04/15/2026 is what Marcus Chen, GC of a private equity sponsor, enters for his special purpose captive. Attach the file-stamped Articles as Exhibit A.
The nuance is that branch captives reverse this rule — a branch captive lists the alien parent’s domicile here and attaches a foreign certificate of good standing instead. The most common mistake is using the date the board approved formation rather than the date the Articles were stamped, which mismatches the Department of State record and triggers a deficiency. The misconception is that an LLC formation date is the same as incorporation — for §6003 purposes the Department accepts both, but the field must say “organized” not “incorporated” for an LLC.
Section 1, Box 4: Principal Place of Business
Provide the street address of the captive’s principal office in Pennsylvania. Captives must maintain a Pennsylvania presence under §6005, which means a real address — not just a registered agent suite — where books and records are kept and board meetings can be held.
Enter the address as 100 North Front Street, Suite 400, Harrisburg, PA 17101. P.O. boxes are not accepted in this field, although you may list a P.O. box separately for mail.
The nuance is that captive managers’ offices satisfy this requirement so long as the management agreement is attached. The most common mistake is listing the parent’s out-of-state headquarters here, which fails the PA presence test and converts the application into a foreign company filing with a higher fee schedule. The misconception is that “principal place of business” means where decisions are made — for captives, the Department reads it as where statutory records are physically maintained.
Section 2: Capitalization and Surplus
This section asks you to certify the amount and form of paid-in capital and surplus the captive will hold on the day the certificate issues. Pure captives must hold at least \$250,000 under §6004(a), association captives \$500,000, industrial insured captives \$500,000, and risk retention groups \$1,000,000, although the Commissioner can require additional surplus based on the business plan.
Enter capital and surplus separately, in U.S. dollars, with no commas inside the form fields. For example, Maria Lopez enters Capital: \$100,000 / Surplus: \$150,000 / Total: \$250,000 for her pure captive. Attach a bank letter dated within 30 days as Exhibit C.
The nuance is letters of credit. The Department accepts irrevocable, evergreen letters of credit from a Federal Reserve member bank rated A or better, but not standby LOCs from non-qualified banks. The most common mistake is funding capital with a promissory note from the parent — the Commissioner rejects intercompany notes as capital under §6004 because they are not “unimpaired.” The misconception is that surplus must be in cash; admitted investments under §6008 are fine, but you must list them.
Section 3: Plan of Operation Summary
This section is a one-page summary of the full Plan of Operation attached as Exhibit D. Describe the lines of insurance to be written, policy limits, retentions, expected first-year premium, projected loss ratio, reinsurance program, and the named covered insureds.
Write the summary in plain prose. For example, Aisha Patel writes “The captive will write hospital professional liability and general liability for 12 affiliated hospitals on a claims-made basis with \$2M per claim/\$6M aggregate limits, retaining \$500,000 per claim and ceding the excess to Munich Re under a quota share treaty. Year-one gross premium is projected at \$8.4M with a 65% loss ratio.”
The nuance is that the summary must match the actuarial feasibility study exactly — any divergence in premium, retention, or loss pick triggers a Department actuarial review. The most common mistake is summarizing the desired plan instead of the funded plan, leading the actuary’s pro formas to contradict the application narrative. The misconception is that the Plan of Operation can be amended freely later — material changes require prior written approval under §6011.
Section 4: Officers, Directors, and Key Personnel
List every officer, every director, and every person owning 10% or more of the captive. For each person, provide name, title, residence address, date of birth, Social Security number (for the Department only), and a citation to the attached NAIC Biographical Affidavit (Form 11).
A correct entry reads Janet Williams, President & CEO, 12 Oak Lane, Hershey, PA 17033, DOB 06/22/1978, see Bio Affidavit Tab 7. Each affidavit must be notarized within 6 months of filing and accompanied by the NAIC third-party verification report.
The nuance is that captive managers count as key personnel even if not employed by the captive, and their managers must also submit affidavits. The most common mistake is omitting the resident agent or the captive manager principal, which delays approval until corrected affidavits arrive. The misconception is that bio affidavits filed in another state can be reused — Pennsylvania requires originals or certified copies addressed to the Pennsylvania Insurance Department.
Section 5: Reinsurance Program
Describe every reinsurance treaty the captive will rely on, including the reinsurer’s name, NAIC code, domicile, A.M. Best rating, type of treaty (quota share, excess of loss, stop loss), retention, limit, and effective dates. Attach the treaty or a binding term sheet as Exhibit F.
For example, Marcus Chen writes “Hannover Rück SE (NAIC# AA-1340125), Germany, A.M. Best A+, 50% quota share on all business, effective 07/01/2026, attached as Exhibit F-1.”
The nuance is that unauthorized reinsurance requires collateral under 31 Pa. Code § 161, and you must describe the trust, LOC, or funds-withheld arrangement. The most common mistake is listing a parent company as reinsurer without an approved fronting structure, which the Commissioner reads as round-tripping and rejects. The misconception is that reinsurance is optional for pure captives — the Commissioner expects a reinsurance program proportional to the risk profile, even if retentions are high.
Section 6: Investment Policy
Summarize the captive’s investment policy and attach the full Investment Policy Statement as Exhibit G. Investments must comply with 40 P.S. § 6008, which incorporates the admitted-asset rules of Article II of the Insurance Department Act with limited captive flexibility.
Enter percentages by asset class. For example, Janet Williams enters “Cash and equivalents 20%, U.S. Treasuries 40%, investment-grade corporate bonds 30%, equities 10%, no derivatives, no affiliate loans.”
The nuance is that affiliate loans are permitted but capped, and any loan to the parent must be disclosed line-by-line. The most common mistake is leaving “equities” at 30% or higher without seeking a Commissioner waiver, which leads to a Plan of Operation rejection. The misconception is that captives can invest like family offices — they cannot, and concentration limits apply.
Section 7: Service Providers
List the captive manager, auditor, actuary, investment manager, banker, and outside counsel. Provide each firm’s name, address, lead contact, and a copy of the engagement letter as Exhibits H-1 through H-6.
For example, Maria Lopez lists “Captive manager: Aon Insurance Managers (USA) Inc., Burlington VT; Auditor: Crowe LLP, Pittsburgh PA; Actuary: Milliman Inc., Philadelphia PA; Counsel: Buchanan Ingersoll & Rooney.”
The nuance is that the auditor must be independent under §6010 and the actuary must be a Member of the American Academy of Actuaries. The most common mistake is naming an internal accountant as the auditor, which fails independence and forces a refile of Section 7 plus a new engagement letter. The misconception is that the captive manager can serve as both manager and auditor — that is a prohibited dual role.
Section 8: Officer Certification and Signature
The application must be signed by an officer of the proposed captive (typically the President or Treasurer) and notarized. The signature attests that every statement is true and that the officer has personal knowledge of the contents.
The signature block looks like “/s/ Maria Lopez, President, Keystone Steel Captive Insurance Company, Inc., 05/28/2026.” The notary acknowledgment must include the notary’s commission expiration.
The nuance is that an electronic signature is acceptable under Pennsylvania’s E-Sign Act if the notary uses a PA-approved remote online notarization platform. The most common mistake is having outside counsel sign — counsel is not an officer and the Department rejects the filing. The misconception is that the signature can be undated or back-dated; the date must be within 10 days of submission.
Three Filled-Out Examples Using Real Scenarios
The three scenarios below show three different filers walking through the same application with different facts. Each illustrates a distinct captive type so you can pattern-match to your own situation.
Scenario 1: Maria Lopez — Pittsburgh Steel Manufacturer Forming a Pure Captive
| Form Section | What Maria Enters |
|---|---|
| Box 1: Proposed Name | KEYSTONE STEEL CAPTIVE INSURANCE COMPANY, INC. |
| Box 2: Type of Captive | ☒ Pure Captive |
| Box 3: State and Date | Pennsylvania, 04/15/2026 |
| Box 4: Principal Office | 100 North Front Street, Suite 400, Harrisburg, PA 17101 |
| Section 2: Capital/Surplus | Capital \$100,000 / Surplus \$150,000 / Total \$250,000 |
| Section 3: Plan Summary | Workers’ comp deductible reimbursement and product liability for parent only; \$5M projected GWP; 60% loss ratio |
| Section 4: Officers | Maria Lopez, President; Tom Reed, Treasurer; Lisa Park, Secretary |
| Section 5: Reinsurance | Swiss Re America, A+, 60% quota share excess \$250K retention |
| Section 7: Service Providers | Aon Insurance Managers, Crowe LLP, Milliman, Buchanan Ingersoll |
| Section 8: Signature | /s/ Maria Lopez, President, 05/28/2026, notarized |
Scenario 2: Aisha Patel — Regional Hospital System Forming an Association Captive
| Form Section | What Aisha Enters |
|---|---|
| Box 1: Proposed Name | ALLEGHENY HEALTHCARE ASSOCIATION CAPTIVE, INC. |
| Box 2: Type of Captive | ☒ Association Captive |
| Box 3: State and Date | Pennsylvania, 03/01/2026 |
| Box 4: Principal Office | 600 Grant Street, Floor 50, Pittsburgh, PA 15219 |
| Section 2: Capital/Surplus | Capital \$200,000 / Surplus \$300,000 / Total \$500,000 |
| Section 3: Plan Summary | Hospital professional and general liability for 12 member hospitals; \$8.4M GWP; \$2M/\$6M limits |
| Section 4: Officers | Aisha Patel, CEO; Dr. Rakesh Singh, Chair; Karen Wu, Treasurer |
| Section 5: Reinsurance | Munich Re America, A+, excess of \$500K retention to \$2M |
| Section 6: Investment Policy | 60% Treasuries, 30% IG corporates, 10% cash |
| Section 8: Signature | /s/ Aisha Patel, CEO, 05/20/2026, notarized |
Scenario 3: Marcus Chen — Private Equity Sponsor Forming a Special Purpose Captive
| Form Section | What Marcus Enters |
|---|---|
| Box 1: Proposed Name | LIBERTY SPC INSURANCE COMPANY, LLC |
| Box 2: Type of Captive | ☒ Special Purpose Captive |
| Box 3: State and Date | Pennsylvania, 05/01/2026 |
| Box 4: Principal Office | 1735 Market Street, Suite 3900, Philadelphia, PA 19103 |
| Section 2: Capital/Surplus | Capital \$250,000 / Surplus \$750,000 / Total \$1,000,000 |
| Section 3: Plan Summary | Representations and warranties insurance on portfolio company acquisitions; \$25M GWP; 40% loss ratio |
| Section 4: Officers | Marcus Chen, GC; Priya Shah, CFO; David Goldberg, Director |
| Section 5: Reinsurance | Hannover Rück SE, A+, 50% quota share on all business |
| Section 7: Service Providers | Marsh Captive Solutions, KPMG, Oliver Wyman, Skadden |
| Section 8: Signature | /s/ Marcus Chen, General Counsel, 05/28/2026, notarized |
How to File the Completed Pennsylvania Captive Insurance Application
Pennsylvania accepts captive applications through three channels, and you should pick one and stick with it. Mixing channels (a paper copy plus an email PDF) creates two intake records and slows the review.
By Mail. Send the original signed application, all exhibits, and a check for \$2,500 payable to “Commonwealth of Pennsylvania” to: Pennsylvania Insurance Department, Bureau of Company Licensing and Financial Analysis, 1345 Strawberry Square, Harrisburg, PA 17120. Use a tracked carrier like FedEx or UPS, because the Department’s filing fees page confirms the \$2,500 is non-refundable and you want proof of delivery. Expected processing time is 60 to 90 days when complete.
By Email. Email a single bookmarked PDF (under 25 MB) to ra-in-companylicense@pa.gov. The check still goes by mail, but the Department starts the clock when the PDF arrives. Keep the email confirmation as your proof of filing.
By Secure Portal. For applications larger than 25 MB, request a secure upload link by calling (717) 787-2735. ACH and wire payments are accepted in lieu of a check; ask for instructions when you call.
The Department issues a Notice of Substantially Complete Application within 14 days if the file is clean. If a deficiency letter arrives instead, you have 30 days to cure or the file is closed and the \$2,500 is forfeited.
What Happens After You File
After intake, the file is assigned to a financial analyst in the Bureau of Company Licensing. The analyst reviews the Plan of Operation, the actuarial feasibility study, and the bio affidavits, and routes capital and reinsurance questions to the Bureau’s actuarial and reinsurance staff.
You will typically receive one round of comments within 30 days. Respond in writing, attach amended exhibits, and renotarize any signature page that changes. The Commissioner then issues a written decision under 40 P.S. § 6004, either granting the Certificate of Authority, granting it conditionally with subsequent reporting requirements, or denying it with the right to a hearing within 30 days.
Once the Certificate of Authority is issued, the captive must file an annual report and audited financial statements by March 1 each year, pay an annual renewal fee, and notify the Department of any material change in officers, directors, ownership, or Plan of Operation within 30 days. Failure to file the annual report is the most common ground for license suspension.
Mistakes to Avoid When Filling Out the Form
The Department publishes a deficiency log every year, and the same errors repeat. Avoid these and your application will move through review in weeks instead of months.
- Leaving fields blank. Every blank is a deficiency; write “Not Applicable” instead.
- Stale Certificate of Good Standing. Anything older than 60 days is rejected; pull a fresh one the week you file.
- Wrong captive type checked. Triggers a complete refile; confirm under §6001 first.
- Pro formas that don’t match the actuarial study. The Department compares them line-by-line; make sure premium, retention, and loss pick are identical.
- Missing biographical affidavits. One missing affidavit holds the entire application; tab and number them.
- Promissory note as capital. Rejected as not unimpaired; fund with cash or a qualifying LOC.
- Out-of-state principal office. Converts to a foreign filing; secure a real PA office before applying.
- Outdated form revision. Always download fresh from the Department site the week of filing.
- Wrong fee amount or wrong payee. Must be exactly \$2,500 to “Commonwealth of Pennsylvania.”
- Counsel signing instead of an officer. Voids the certification; only officers may sign.
- Unauthorized reinsurer without collateral. Triggers a §161 deficiency; attach the trust or LOC.
- Investment policy with concentration breaches. Rebalance before filing or request a waiver in writing.
Do’s and Don’ts
- Do download the form fresh the week you file, because revisions happen quietly.
- Do bookmark your PDF, because analysts read 200-page filings and bookmarks save days.
- Do match the Plan of Operation summary to the actuarial study word-for-word.
- Do call the Bureau before filing if you have an unusual structure.
- Do keep copies of everything, including the FedEx tracking receipt.
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Do calendar the 30-day deficiency cure deadline the day you file.
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Don’t file on December 27 hoping to get a current-year effective date; the Department closes books mid-December.
- Don’t use a registered agent address as the principal office.
- Don’t rely on UCAA bio affidavits filed in another state; PA wants originals.
- Don’t let the parent sign reinsurance treaties before the captive is licensed.
- Don’t fund capital with anything other than cash, qualifying securities, or a qualifying LOC.
- Don’t assume electronic notarization is accepted without confirming the platform is on the PA Department of State approved list.
Pros and Cons of Filing on Your Own vs. With a Captive Manager
Most captives are filed by a captive manager, but small pure captives are sometimes filed by the parent’s CFO with outside counsel. Both paths work, and the table below breaks down the tradeoffs.
| Filing Pro Se with Counsel | Filing With a Captive Manager |
|---|---|
| Lower upfront cost (no manager fee) | Higher upfront cost but bundled with ongoing management |
| Total control over Plan of Operation drafting | Manager drafts the plan from a proven template |
| Steeper learning curve on §6001–6017 | Manager handles statutory mechanics |
| Risk of missing exhibits | Manager checklists prevent missing exhibits |
| Slower review (more rounds of deficiencies) | Faster review (Department recognizes major managers) |
Pros of filing pro se: lower cost, full institutional knowledge stays in-house, direct relationship with the Department, faster decisions on amendments later, and tighter control of confidential information.
Cons of filing pro se: longer review cycles, higher risk of fee forfeiture, no template to start from, harder to find a qualified actuary, and ongoing compliance becomes your problem.
Pros of using a captive manager: experienced staff, established Department relationships, turnkey service providers, pre-vetted templates, and bundled annual compliance.
Cons of using a captive manager: annual fees of \$75,000 to \$250,000, less institutional knowledge in-house, potential conflicts when the manager has many clients, contract lock-ups, and slower customization of unusual structures.
FAQs
Is the Pennsylvania Captive Insurance Application fee refundable?
No. The \$2,500 domestic company license application fee is non-refundable under the PA Insurance Department fee schedule, even if your application is denied or withdrawn after intake.
Can a captive be domiciled in Pennsylvania if its parent is in another state?
Yes. The parent can be located anywhere, but the captive itself must maintain a Pennsylvania principal office and Pennsylvania books and records under 40 P.S. § 6005.
Do I write the parent’s name or the captive’s name in Box 1?
No, never the parent’s name. Box 1 is the proposed captive’s legal name, and using the parent’s name causes immediate rejection on intake.
Do I check more than one box in Section 1, Box 2 (Type of Captive)?
No. Pick exactly one statutory type; multi-checking forces a refile because each type has different capital and operating rules.
Can promissory notes count as capital under Section 2?
No. Intercompany notes are not “unimpaired” capital under §6004; only cash, admitted securities, or a qualifying letter of credit count.
Do I need an actuarial feasibility study for a small pure captive?
Yes. Every captive needs an actuarial feasibility study signed by a Member of the American Academy of Actuaries, regardless of size, attached to the Plan of Operation.
Are NAIC biographical affidavits filed in another state acceptable?
No. Pennsylvania wants originals or certified copies addressed to the PA Insurance Department, with NAIC third-party verification completed within 6 months of filing.
Can outside counsel sign Section 8 instead of an officer?
No. Only an officer of the proposed captive may sign the certification, and a counsel signature voids the application on intake.
Is reinsurance required for a pure captive?
Yes, in practice. The Commissioner expects a reinsurance program proportional to retained risk, even though §6004 does not impose a numeric minimum.
Can I file the application electronically?
Yes. Email a single bookmarked PDF under 25 MB to ra-in-companylicense@pa.gov, or request a secure upload link for larger filings by calling (717) 787-2735.
How long does the Department take to review?
Yes, typically 60 to 90 days for a clean filing. Expect 4 to 6 months if the application has multiple deficiency rounds or actuarial questions.
Can a captive write third-party business?
No, not as a pure captive. Pure captives are limited to parent and affiliate risk; third-party business requires an industrial insured, association, or special purpose captive structure under §6001.
What happens if I miss the 30-day deficiency cure deadline?
No mercy from the Department: the file is closed, the \$2,500 fee is forfeited, and you must refile from scratch with a new fee and fresh exhibits.
Do I need a Pennsylvania-licensed agent to write captive policies?
No. Captives issue policies directly to their covered insureds, and producer licensing under Title 40 does not apply to direct captive placements with affiliates.
Related reading
- How to Fill Out Ohio DOI Captive Insurance Application (w/Examples) + FAQs
- How to Fill Out the Captive Annual Report (w/Examples) + FAQs
- How to Fill Out the Hawaii Captive Insurance Company Application + FAQs
- How to Fill Out the Montana Captive Insurance Company Application + FAQs
- How to Fill Out the Utah Captive Insurance Company Application + FAQs
- How to Fill Out the Vermont Captive Insurance Company Application + FAQs