The Tennessee Department of Commerce & Insurance (TDCI), the state agency responsible for overseeing insurance, securities, and various business regulations in Tennessee, announced that 2025 marked its sixth consecutive year of growth in both active captive insurance cells and risk-bearing entities.
“By combining responsible regulation, a modern captive insurance statute, and a team of customer-focused professionals, Tennessee continues to distinguish ourselves among captive domicile managers as the perfect place to call home when establishing a captive insurance domicile,” commented TDCI Commissioner Carter Lawrence.
“I am optimistic that the growth trend we’ve seen in little over half-a-decade will continue into the future as Tennessee’s reputation as a first-in-class choice for captive domicile managers grows.”
Within the department, the Captive Insurance Section manages oversight of the state’s captive insurance industry. This type of insurance allows companies to finance and manage their own risks by creating in-house insurance structures rather than purchasing coverage from outside insurers.
Since the state updated its captive insurance laws in 2011, Tennessee has steadily strengthened its position as a favorable location for captive formations. That progress continued in 2025, when five new captive insurers and 50 new cells were licensed. The totals now stand at 184 captives and 703 cells statewide.
Year-over-year figures show continued momentum, with active cells rising by 8% and overall risk-bearing entities increasing by 6% from 2024 to 2025. Premium volume also climbed significantly, reaching $4.2 billion in 2025 compared to $2.9 billion the year before.
“I commend our fantastic team of analysts who made customer service and connecting with prospective customers their focus in 2025 and beyond,” said TDCI Captive Section Director Mark Wiedeman. “I firmly believe that sustained year-over-year growth, good relationships, and connectivity with our customers will continue to incentivize other companies to use establishing a captive in Tennessee for their risk-financing needs.”
