Modifies the eligibility criteria for sponsors of sponsored captive insurance companies in Michigan.

The bill amends Michigan's insurance laws to modify the eligibility criteria for sponsors of sponsored captive insurance companies. Sponsors must now be insurers, insurance holding companies, reinsurers, or captive insurance companies approved by the director. The director must consider the sponsor's type, financial stability, business reputation, and other relevant factors. Risk retention groups are excluded from being sponsors. The business written by a sponsored captive must be fronted by an authorized insurance company or reinsured by an approved reinsurer.

Modifies the eligibility criteria for sponsors of sponsored captive insurance companies in Michigan.

The bill amends Michigan's insurance laws to modify the eligibility criteria for sponsors of sponsored captive insurance companies. Sponsors must now be insurers, insurance holding companies, reinsurers, or captive insurance companies approved by the director. The director must consider the sponsor's type, financial stability, business reputation, and other relevant factors. Risk retention groups are excluded from being sponsors. The business written by a sponsored captive must be fronted by an authorized insurance company or reinsured by an approved reinsurer.