Public utility districts (PUDs) in Washington would be permitted to establish, own or use captive insurance companies under a bill pending in the state legislature, according to a report from AM Best.
The measure, H.B. 1842, defines PUDs as special-purpose districts authorized to generate and distribute electricity, provide water and sewer services, and offer telecommunications services. The legislation would also allow local government authorities to form captive insurance companies and self-insure risks.
PUDs operate at the county level or within smaller jurisdictions and may align with county borders to provide public services.
Insurance laws in the state of Washington could be undergoing major changes as Patty Kuderer, the state’s insurance commissioner, advocates for new measures that will improve consumer protections, increase transparency in insurance pricing and expand regulatory authority.
One of the bills Kuderer supports had recently been approved by several Washington senate committees. The bill will allow the insurance commissioner to order property/casualty carriers to pay restitution directly to policyholders for code violations. Industry groups, however, are opposing the proposed legislation.
New acting commissioner for Vermont’s Department of Financial Regulation
In a separate development, Sandy Bigglestone was appointed acting commissioner for Vermont’s Department of Financial Regulation (DFR) in December. The department oversees banking, insurance, securities and captive insurance industries in the state, according to Governor Phil Scott’s officer.
Bigglestone will succeed Commissioner Kevin Gaffney, who is set to retire at the end of the year, the governor’s office said. She previously served as deputy commissioner of the DFR’s Captive Insurance Division, overseeing the administration and regulation of captives and risk retention groups. She joined the division more than 25 years ago and has held the deputy commissioner role since 2022.
