The Captive Annual Report is the yearly financial filing that every licensed captive insurance company must submit to its home-state insurance regulator to prove it is solvent, well-managed, and still able to pay claims. It is the captive world’s version of a yearly check-up, and the state insurance commissioner is the doctor reading the chart.
Filing this report is not optional, and missing it carries real teeth. In Nevada, a captive that files late pays a penalty of $100 per day, up to $3,000, recovered by the Attorney General in the name of the state. With more than 6,000 captives now licensed across U.S. domiciles, the annual report is the single most repeated compliance task in the entire captive life cycle, and small errors on it get repeated year after year.
Here is what you will walk away knowing:
- 📋 What the Captive Annual Report is, which agency reads it, and exactly who must file it
- 🗂️ Every document and number you must gather before you open the form
- ✍️ A line-by-line walkthrough of each page, from the Jurat to the Balance Sheet to the Statement of Income
- 👥 Three complete filled-out examples following real captives from start to finish
- ⚠️ The field-level mistakes that trigger holds, penalties, and license trouble — and how to dodge them
What the Captive Annual Report Is and Who Must File It
The Captive Annual Report is a sworn financial statement that a captive insurance company files with its domiciliary insurance department once a year. A captive is an insurance company that a business owns to insure its own risks, instead of buying coverage from an outside carrier. The report tells the regulator how much the captive holds in assets, how much it owes, how much premium it took in, and whether it still has enough surplus to back its promises.
Every licensed captive must file, but the exact form and due date depend on the state and the captive type. In Delaware, the largest U.S. domicile, every captive except a special purpose financial captive files Form F-1, updated 3/31/2025, and delivers it to the Captive Insurance Bureau by April 15. In Vermont, statute 8 V.S.A. § 6007 sets a March 1 deadline for most captives and March 15 for pure, association, sponsored, industrial insured, and agency captives. In Nevada, the annual report of financial condition is due June 30 under NRS 694C.400.
The agency that receives the report is the state Department or Division of Insurance, usually through a dedicated captive bureau. The statute behind the filing is the state’s captive insurance chapter, such as 18 Del. C. § 6907 in Delaware. The deadline is fixed by that chapter or by regulation, and the penalty for missing it ranges from daily fines to license suspension. These five pieces — purpose, agency, statute, deadline, and penalty — lock together. The statute creates the duty, the agency enforces it, the deadline times it, and the penalty punishes a miss.
Risk retention groups are the big exception. An RRG files the full NAIC Annual Statement Blank (the same blue or yellow blank a commercial insurer uses) rather than the slimmer state captive form. If you run an RRG, the line-by-line below still helps, but your blank is longer and your filing goes partly to the NAIC.
Before You Start: Documents and Information You Need
Gather everything before you open the workbook. The Captive Annual Report pulls numbers from your year-end books, your investment custodian, your actuary, and your premium ledger, and hunting for them mid-form is how mistakes creep in.
Here is the pre-filing checklist. Each item matters, and each one causes a specific problem if it is missing.
- Year-end trial balance or GAAP financials. Delaware lets captives file using GAAP accounting, and the form’s Balance Sheet and Income Statement come straight from these books. Without them, your totals will not tie.
- Investment schedule from your custodian. Michigan’s Form FIS 2219 balance sheet now requires a separate list for bonds and for common and preferred stocks. Miss the detail and the form is incomplete.
- Premium ledger by line of business. The premium schedule feeds your premium tax return, so a wrong number here means a wrong tax bill.
- Loss and loss-adjustment-expense reserves. These come from your actuary and must match the Statement of Actuarial Opinion. A mismatch draws an examiner’s question.
- Prior-year annual report. The form asks for prior-year comparatives, and last year’s filing is the source.
- Cash balances confirmed by the bank. Michigan’s questionnaire asks for total true cash and tells you not to count cash equivalents or short-term investments. Get this wrong and you misstate liquidity.
- List of officers and directors. The Jurat page names them, and an outdated list signals weak governance.
- Reinsurance agreements and balances. Ceded and assumed premium flow onto the form, and missing treaties understate your risk transfer.
- Federal Employer Identification Number and NAIC company code. These identify the captive, and a typo can route your filing to the wrong file.
Missing any one of these forces you to stop, request it, and risk blowing the deadline. Pull them all first, then fill the form in one clean pass.
Where to Get the Form and How to Access It
The Captive Annual Report is almost always an Excel workbook you download from your state’s captive bureau page, not a fillable PDF. Delaware posts Form F-1 and its instructions as Excel files for every captive except SPFCs. Michigan posts Form FIS 2219 as a saveable Excel workbook with instructions built in. Texas uses an Excel Captive Annual Report Form, or CARF.
Always download the current version. Each form carries a revision date, such as Delaware’s 3/31/2025 stamp, and regulators update them yearly. Using last year’s workbook can drop a newly required schedule and get your filing bounced.
Save the workbook to your computer, enable editing, and complete it in Excel or a compatible program. Do not retype the report into a fresh spreadsheet, because the official file contains locked formulas that total your pages automatically. Once finished, most states want the workbook delivered to the captive bureau, and several still require a signed, notarized hard copy. Delaware notes that documents must be submitted in hard copy, so plan for printing and mailing, not just an email attachment.
Step-by-Step: How to Fill Out the Captive Annual Report Line by Line
The report is built as a workbook of linked pages. Most states follow the same backbone: a Jurat page, a Balance Sheet, a Statement of Income, a premium schedule, and a questionnaire. Below, each page gets its own walkthrough. Sample entries are italicized so you can tell them apart from instructions.
Page 1 — The Jurat Page (Company Identification and Oath)
The Jurat page asks who you are and swears that everything that follows is true. It collects the captive’s legal name, address, state of domicile, license number, FEIN, NAIC code, the reporting year, and the signatures of two executive officers under oath.
To fill it in, type the captive’s full legal name exactly as it appears on the license, enter the reporting year as the calendar year just ended, list current officers and directors, and have two officers sign before a notary. North Carolina’s Form C-200 instructions state the Jurat must be completed and signed, and Vermont requires the report be verified by oath of two executive officers.
For example, Granite Peak Insurance Company, Inc. writes its name, enters 2025 as the reporting year, lists CEO Dana Reyes and CFO Miguel Santos, and both sign before a notary on 03/10/2026.
A common edge case is a fiscal-year captive. If your year does not end December 31, you usually must apply in writing for an alternate reporting date, and Vermont then makes the report due 75 days after fiscal year-end. Mark the correct period or your data will not line up with the state’s records.
The most common mistake is one signature instead of two, or signing without a notary. The direct consequence is rejection, because the oath is what makes the report a legal statement. The misconception is that the captive manager can sign for the company; the statute names executive officers of the captive, not the manager.
Page 2 — The Balance Sheet (Assets, Liabilities, and Surplus)
The Balance Sheet asks what the captive owns, what it owes, and what is left over for policyholders. Assets include cash, bonds, stocks, and reinsurance recoverables; liabilities include loss reserves and unearned premium; the difference is capital and surplus.
Fill each asset and liability line from your year-end financials, then let the workbook total it. Michigan now requires a separate list for bonds and for common and preferred stocks, so break out each holding rather than lumping investments together. Report values on the basis your state allows, which in Delaware can be GAAP.
For example, Granite Peak reports $4,200,000 in bonds, $1,150,000 in cash, $900,000 in loss reserves, and $5,000,000 in capital and surplus, and the workbook confirms assets equal liabilities plus surplus.
A frequent edge case is true cash. Michigan’s questionnaire asks for total true cash and tells you to exclude cash equivalents and short-term investments, so do not pad the cash line with money-market funds.
The common mistake is a balance sheet that does not balance, often from a hand-keyed number overriding a formula. The consequence is an immediate examiner query and a possible refiling. The misconception is that small rounding is fine; regulators expect assets to equal liabilities plus surplus to the dollar.
Page 3 — The Statement of Income (Premiums, Losses, and Result)
The Statement of Income asks how the captive performed during the year. It captures earned premium, net investment income, losses and loss-adjustment expenses, other expenses, and the net gain or loss.
Enter premium earned net of reinsurance, add investment income, subtract incurred losses and expenses, and let the form compute the bottom line. North Carolina’s Form C-200 pairs a Statement of Income with the Balance Sheet on its consolidating worksheet, so the two pages must agree on shared figures.
For example, Granite Peak reports $2,100,000 in earned premium, $180,000 in investment income, $1,250,000 in incurred losses, and a $430,000 net gain that flows to surplus on the Balance Sheet.
The edge case is a captive that wrote no business in the year. Even a dormant captive files, reporting zeros for premium while still showing investment income and expenses. Do not skip the page just because premium is nil.
The common mistake is reporting gross premium instead of net, which overstates revenue. The consequence is an overstated premium tax and a confused examiner. The misconception is that investment income belongs only on the Balance Sheet; it is income and belongs here, where it lifts the year’s result.
Page 4 — The Premium Schedule (By Line and By Insured)
The premium schedule asks for a breakdown of premium by line of business and, in some states, by reinsurer or insured. It is the page the tax authority leans on most.
Fill it by copying premium from your ledger into each line category, separating direct, assumed, and ceded premium. Vermont ties this page directly to tax, requiring fiscal-year filers to submit the premium schedule by March 15 so the state can support the premium tax return.
For example, Coastal Mutual, an association captive, lists $1,400,000 in general liability premium, $600,000 in property premium, and $300,000 ceded to a reinsurer, leaving net premium that matches its income statement.
The edge case is assumed reinsurance. Delaware caps the annual maximum assumed reinsurance premium for tax tiers, so report assumed premium on its own line, not blended with direct.
The common mistake is premium on this schedule that does not match the income statement. The consequence is a reconciliation request that delays acceptance. The misconception is that ceded premium can be netted out and ignored; the schedule wants it shown so the regulator sees the full risk picture.
Page 5 — The Questionnaire and Management Discussion
The questionnaire asks yes-or-no governance and operations questions, and the management discussion and analysis (MD&A) asks for a written narrative of the year. Together they give the regulator context the numbers alone cannot.
Answer every question, attach the MD&A, and follow the format the form prescribes. Michigan requires the MD&A by April 1, one month after the report itself, and includes question #16 on true cash inside the questionnaire.
For example, Granite Peak answers Yes to holding a current actuarial opinion, No to any related-party loans, and writes a one-page MD&A explaining a $430,000 gain driven by lower-than-expected claims.
The edge case is a question that does not apply. Answer N/A rather than leaving it blank, because a blank reads as an oversight.
The common mistake is skipping the MD&A because the numbers “speak for themselves.” The consequence is an incomplete filing and a follow-up letter. The misconception is that the questionnaire is a formality; examiners use it to spot governance gaps that trigger a deeper review.
Supporting Filings — Audited Statements and Actuarial Opinion
These are not pages of the workbook, but they ride alongside it and share deadlines. The audited financial statement is prepared by an independent CPA, and the Statement of Actuarial Opinion (SAO) is signed by a qualified actuary.
File them by the state’s date. Delaware requires audited financials and a Statement of Actuarial Opinion by June 30 for every captive that retains risk, while Michigan requires audited statements within five months of fiscal year-end and Kentucky and Nevada set a June 1 and June 30 deadline respectively.
For example, Sterling Risk Captive files its F-1 by April 15, then delivers its CPA-audited statements and its actuary’s SAO before June 30, with reserves on both matching the Balance Sheet.
The common mistake is reserves in the SAO that differ from the report. The consequence is a direct examiner question about which number is right. The misconception is that the audit can replace the annual report; they are separate filings with separate dates.
Three Filled-Out Examples Using Real Scenarios
Below are three captives walked through the report. Each table follows one filer through the most important sections.
Scenario 1: Granite Peak Insurance Company — a Delaware pure captive owned by one manufacturer. Dana Reyes, the CFO’s colleague, files Form F-1 by April 15.
| Form Section | What Granite Peak Enters |
|---|---|
| Captive legal name (Jurat) | Granite Peak Insurance Company, Inc. |
| Reporting year (Jurat) | 2025 |
| Signatures (Jurat) | Two officers, notarized 03/10/2026 |
| Total assets (Balance Sheet) | $6,250,000 |
| Capital and surplus (Balance Sheet) | $5,000,000 |
| Earned premium (Income) | $2,100,000 |
| Net gain (Income) | $430,000 |
| Actuarial opinion held (Questionnaire) | Yes |
| Audited financials due | June 30, 2026 |
Scenario 2: Coastal Mutual Risk — a Vermont association captive owned by a trade group. Treasurer Lena Okafor files by March 15 under the Vermont deadline.
| Form Section | What Coastal Mutual Enters |
|---|---|
| Captive legal name (Jurat) | Coastal Mutual Risk, Inc. |
| Captive type | Association captive |
| Filing deadline applied | March 15 |
| General liability premium (Schedule) | $1,400,000 |
| Property premium (Schedule) | $600,000 |
| Ceded premium (Schedule) | $300,000 |
| Loss reserves (Balance Sheet) | $1,900,000 |
| MD&A narrative | Stable results, no related-party loans |
| Premium schedule to support tax | Filed by March 15 |
Scenario 3: Sterling Risk Captive — a Nevada pure captive with a December fiscal year. Controller Priya Nair files the annual report by June 30 and the premium tax by March 1.
| Form Section | What Sterling Enters |
|---|---|
| Captive legal name (Jurat) | Sterling Risk Captive, LLC |
| Annual report deadline | June 30, 2026 |
| Premium tax form deadline | March 1, 2026 |
| First-year tax credit applied | $5,000 |
| Total cash, true cash basis | $1,150,000 |
| Incurred losses (Income) | $1,250,000 |
| Net investment income (Income) | $180,000 |
| SAO filed | By June 30, 2026 |
| Late-filing exposure if missed | $100 per day, up to $3,000 |
How to File the Completed Captive Annual Report
Filing channels vary by state, so confirm yours before the deadline. Most domiciles accept or require the Excel workbook, and several still want a signed paper copy.
- By mail or hard copy. Delaware notes that captive documents must be submitted in hard copy to the Captive Insurance Bureau, with the report due April 15 and the $400 annual renewal fee paid alongside per the annual filing page. Keep a stamped copy and a mailing receipt as proof.
- By email or upload. Michigan accepts the FIS 2219 Excel workbook saved and submitted electronically, with the report due March 1. Save the sent email and any confirmation as proof.
- By portal. Some states route filings through an online portal; risk retention groups file blanks through the NAIC and submit signed jurat pages and the actuarial opinion summary through the state portal. Print the submission confirmation.
- Fees and payment. Delaware charges a $400 renewal fee and a separate $50 corporate annual report fee for incorporated captives, while Nevada applies a $5,000 first-year premium tax credit and accepts ACH payment by arrangement with its accounting section.
Always keep proof of filing — a postmark, an upload confirmation, or a portal receipt — because the burden is on the captive to show it filed on time.
What Happens After You File
Once the report lands, the captive bureau’s financial analysts review it for completeness and red flags. They check that the Balance Sheet balances, that reserves match the actuarial opinion, and that surplus stays above the minimum capital your license requires.
If something is off, the analyst sends a deficiency letter asking you to explain or refile. A clean report usually draws no response beyond an acknowledgment, and your renewal proceeds. Delaware, for instance, pairs the report with the $400 renewal fee, so an accepted report keeps your license active for another year.
Over a multi-year cycle, the regulator uses your reports to schedule periodic financial examinations. Patterns across years — falling surplus, growing reserves, or repeated late filings — push a captive up the priority list for a full exam. A consistent, accurate report is the cheapest way to stay off that list.
Mistakes to Avoid When Filling Out the Captive Annual Report
Each mistake below has a direct consequence. Read them as a final check before you file.
- Filing last year’s workbook. The form is rejected because it lacks newly required schedules.
- Only one officer signs the Jurat. The oath is invalid and the report bounces.
- Signing without a notary. The verification fails and the filing is returned.
- A Balance Sheet that does not balance. An examiner opens a deficiency inquiry.
- Reporting gross premium instead of net. Your premium tax is overstated.
- Padding the cash line with money-market funds. You misstate true cash and draw a question.
- Reserves that differ from the actuarial opinion. The examiner asks which number is correct.
- Skipping the MD&A. The filing is incomplete and a follow-up letter follows.
- Leaving questionnaire items blank instead of N/A. The gap reads as an oversight.
- Missing the deadline. Nevada charges $100 per day, up to $3,000.
- Filing a false statement knowingly. In Nevada that is a gross misdemeanor for the officer who signs it.
- Forgetting the separate audited statements and SAO. The annual report alone does not satisfy the rules.
Do’s and Don’ts
Do’s
- Do download the current form and confirm its revision date, because regulators change schedules yearly.
- Do gather every document first, since hunting mid-form breeds errors.
- Do let the workbook’s formulas total your pages, so the math ties.
- Do match reserves on the report to the actuarial opinion, because examiners cross-check them.
- Do file proof of submission, since the burden of timeliness is on you.
- Do calendar all deadlines, including the separate audit and SAO dates.
Don’ts
- Don’t retype the report into a fresh spreadsheet, because you lose the locked formulas.
- Don’t net out ceded premium, since the schedule wants the full picture.
- Don’t leave the MD&A for “later,” because it shares the filing deadline.
- Don’t assume your manager can sign the oath, since the statute names captive officers.
- Don’t count cash equivalents as true cash, because that misstates liquidity.
- Don’t ignore a deficiency letter, since silence can escalate to a license action.
Pros and Cons of Filing on Your Own vs. With a Captive Manager
Most captives use a licensed captive manager, but some larger captives file in-house. Here is how the two compare.
| Filing With a Captive Manager | Filing In-House |
|---|---|
| Pro: The manager knows each state’s form and revision dates, so you avoid version errors. | Pro: You save the management fee, which can run into five figures yearly. |
| Pro: The manager coordinates the CPA and actuary, keeping reserves consistent. | Pro: Your own team knows the business and can explain the numbers directly. |
| Pro: The manager tracks deadlines across multiple domiciles at once. | Pro: You keep full control of the schedule and timing. |
| Con: You pay an ongoing management fee. | Con: You carry full responsibility for version and deadline errors. |
| Con: You depend on the manager’s calendar and responsiveness. | Con: You must build state-specific expertise that the manager already has. |
The right choice depends on size and complexity. A single-parent captive with one line of business can often file in-house, while a sponsored or series captive with many cells usually benefits from a manager’s coordination.
FAQs
Do I have to file the Captive Annual Report even if my captive wrote no business this year?
Yes. A dormant captive still files, reporting zeros for premium while showing investment income, expenses, and surplus, because the license remains active and the regulator still monitors solvency.
Is the Captive Annual Report the same as my audited financial statements?
No. They are separate filings with separate dates; the report is due first, and the audited statements and actuarial opinion follow later, often by June 30.
Do I write gross premium or net premium on the Statement of Income?
No, not gross; you report premium earned net of reinsurance, then show ceded and assumed premium separately on the premium schedule so the regulator sees the full risk picture.
Do both officers really need to sign the Jurat page?
Yes. Vermont and most states require the report be verified by oath of two executive officers, and a single signature invalidates the filing.
Do I include money-market funds in the “true cash” line?
No. Michigan’s questionnaire tells you to report total true cash without cash equivalents or short-term investments, so money-market funds belong elsewhere on the Balance Sheet.
Do I file the same form if my captive is a risk retention group?
No. An RRG files the full NAIC Annual Statement Blank rather than the slimmer state captive form, and part of that filing goes to the NAIC.
Is there a penalty if I file late?
Yes. In Nevada the captive pays $100 per day, up to an aggregate $3,000, and other states impose fines or move you up the examination list.
Do I use this year’s form or can I reuse last year’s workbook?
No, never reuse last year’s; download the current version, such as Delaware’s Form F-1 dated 3/31/2025, because regulators add or change schedules each year.
Do I have to mail a paper copy, or is email enough?
No, email is not always enough; Delaware requires captive documents in hard copy, while states like Michigan accept the Excel workbook electronically, so confirm your channel.
Can my fiscal-year captive file on a date other than the standard deadline?
Yes. With written approval, Vermont makes the report due 75 days after fiscal year-end, though you may still owe a premium schedule by the calendar deadline.
Do my loss reserves on the Balance Sheet need to match the actuarial opinion?
Yes. Reserves on the report must match the Statement of Actuarial Opinion, because examiners cross-check the two and a mismatch triggers a direct inquiry.
Is filing a knowingly false report a serious matter?
Yes. In Nevada an officer who knowingly signs a materially false statement is guilty of a gross misdemeanor, so accuracy on the oath is not optional.
Do I pay a fee when I file the annual report?
Yes. Delaware charges a $400 renewal fee with the report plus a $50 corporate report fee for incorporated captives, while Nevada gives a $5,000 first-year tax credit.
Do I need to send the management discussion and analysis with the form?
Yes. The MD&A is required; Michigan sets it due by April 1, one month after the report, and skipping it makes the filing incomplete.
Related reading
- How to Fill Out New York DFS Captive Insurance Company Application + FAQs
- How to Fill Out Pennsylvania Captive Insurance Application (w/Examples) + FAQs
- How to Fill Out the Captive Actuarial Opinion Filing (w/ Examples) + FAQs
- How to Fill Out the Captive Premium Tax Return (w/Examples) + FAQs
- How to Fill Out the Industrial Insured Captive Application (Vermont) + FAQs
- How to Fill Out the Montana Captive Insurance Company Application + FAQs