Connecticut has made a Masonicare subsidiary its first health care liability captive insurer.
Keystone Indemnity Company Ltd. will provide medical liability insurance for Wallingford-based Masonicare, which owns four assisted- and independent-living facilities.
“We felt it was time to honor our commitment to Connecticut seniors by bringing our captive insurance company back home,” Jon-Paul Venoit, president and CEO of Masonicare, said in a statement. “Once we saw the creative energy of the captive movement in Connecticut, we at Masonicare decided that we needed to be a part of it.”
Keystone officials chose Aug. 1 to relocate, or “redomesticate,” to Connecticut as part of the agreement. The company had been in Vermont, where it was first licensed in 2001.
Connecticut changed its regulations on captive insurers in 2011 to encourage more in the state. There will now be 15 captive insurers in the state, but Keystone will be the first addressing healthcare liabilities.
“We are delighted to welcome Keystone to Connecticut,” Insurance Commissioner Katherine L. Wade said in a statement. “Not only is Keystone our first health care liability captive, but it is a captive owned by Masonicare, a respected Connecticut provider of statewide long-term care, home health care and hospice care, and assisted and independent living services.”
Other captive insurers in the state include CT Prime, created in July 2016 as the first captive insurer for municipalities.
CT Prime, a partnership between the Capitol Region Education Council and 12 municipalities and school districts, stabilizes the costs of stop loss insurance for its self-insured members. Cheshire is among the member towns.
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