“More Opportunities to Pay Less in New Hampshire” – NH Division of Economic Development Shares One Insurance Company’s Success Story
Redomestication - the process by which insurance companies reincorporate from one domicile state to another - can be an intelligent business move for a number of reasons. Here, you'll learn about the benefits gained by one commercial property casualty insurance company because of their redomestication to New Hampshire.
Concord, NH, February 18, 2011 --(PR.com)-- In 2007, the state of New Hampshire embarked on a multi-year initiative to make it one of the most attractive places in America for property/casualty and life insurance companies to call home.
At the center of this initiative: A reduction in the insurance premium tax from 2% to 1.25%, making NH’s rate the lowest in the Northeast and in the lowest ten nationwide. For Acadia Insurance Company, this kind of forward-thinking action was a major reason to redomesticate to New Hampshire.
***Working Relationships***
Acadia Insurance redomesticated in 2007, and according to CFO Charles Hamblen, they have realized a lower premium tax burden as a result. In addition to the low tax burden and wider access to a skilled labor pool, they have also found there to be a generally positive attitude toward businesses in the state.
While many states are facing budget challenges that cause them to consider tax increases and service reductions, Hamblen notes that “New Hampshire has remained relatively stable.” This kind of environment lends itself to the unique nature of insurance companies, and the challenges they face when considering a significant business decision like redomestication.
Redomestication – the process of changing an insurance company’s state of incorporation – can be complex. But the NH Insurance Department’s collaborative nature with applicants and other state agencies makes the procedural process straightforward and supportive.
***Industry Action***
Of course, no company would pursue redomestication unless the long-term value outweighs the short-term costs. That’s why CEOs and executives look at other important factors – like professional networks and industry support systems – to help with their decision-making.
“The NH Domestic Insurance Company Association is very active in supporting the local industry,” praises Hamblen. “You don’t always see that in other places.”
The NH Domestic Insurance Company Association is one of five state organizations, including chapters of national organizations, which support the industry.
***The NH Lifestyle***
Dan Swift, Acadia’s General Counsel, also pointed out that the overall quality of life in New Hampshire can make it easier to recruit talent there. “It’s a good place to live, and there’s no income or sales tax,” Swift says. Hamblen sums it up neatly: “There are more opportunities to pay less in New Hampshire.”
The Granite State consistently makes it to the top of CQ Press’ lists of the most livable states and the safest states in the nation, and offers four seasons filled with recreational opportunities.
Explore the Opportunity
To help make the redomestication process run as smoothly as possible, the Insurance Department has partnered with the state’s Division of Economic Development to help interested insurance businesses learn more about the opportunities they have to succeed in New Hampshire. The Division’s Business Resource Center is a one-stop source for services ranging from licensing and permitting to low-interest financing and workforce training grants.
For further information on the benefits of New Hampshire for your insurance company, please contact Michael Bergeron, Business Development Manager, at (603) 271-2591 or email mbergeron@dred.state.nh.us.
About the NH Division of Economic Development
The New Hampshire Division of Economic Development, comprised of the New Hampshire Business Resource Center and the International Trade Resource Center, offer resources to enhance the economic activities of the state through business attraction outreach, in-state business expansion efforts, and facilitation of government and international sales. To find out more about why New Hampshire’s low business tax burden and sales and income-tax free tradition makes it the “Most Livable State” in the nation, visit http://www.NHEconomy.com, check out their “No Bull” Business Blog at http://blog.NHEconomy.com, and stay connected to NH Economy’s opportunities, grants, and news on Facebook at http://Facebook.com/NoBullBusiness.
About the NH Insurance Department
The first insurance regulator in the US, the NH Insurance Department was created in 1851 and charged with enforcing and administering New Hampshire’s insurance laws. The department, an agency of the executive branch of New Hampshire state government, conducts safety and soundness and market conduct examinations of licensees, licenses insurance companies and insurance producers, reviews premium rates and policy forms, provides assistance, information and referral services to New Hampshire insurance consumers, and administers the filing and collection of New Hampshire’s insurance premium tax. For more information, visit the Insurance Department’s web site at: http://www.nh.gov/insurance.
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At the center of this initiative: A reduction in the insurance premium tax from 2% to 1.25%, making NH’s rate the lowest in the Northeast and in the lowest ten nationwide. For Acadia Insurance Company, this kind of forward-thinking action was a major reason to redomesticate to New Hampshire.
***Working Relationships***
Acadia Insurance redomesticated in 2007, and according to CFO Charles Hamblen, they have realized a lower premium tax burden as a result. In addition to the low tax burden and wider access to a skilled labor pool, they have also found there to be a generally positive attitude toward businesses in the state.
While many states are facing budget challenges that cause them to consider tax increases and service reductions, Hamblen notes that “New Hampshire has remained relatively stable.” This kind of environment lends itself to the unique nature of insurance companies, and the challenges they face when considering a significant business decision like redomestication.
Redomestication – the process of changing an insurance company’s state of incorporation – can be complex. But the NH Insurance Department’s collaborative nature with applicants and other state agencies makes the procedural process straightforward and supportive.
***Industry Action***
Of course, no company would pursue redomestication unless the long-term value outweighs the short-term costs. That’s why CEOs and executives look at other important factors – like professional networks and industry support systems – to help with their decision-making.
“The NH Domestic Insurance Company Association is very active in supporting the local industry,” praises Hamblen. “You don’t always see that in other places.”
The NH Domestic Insurance Company Association is one of five state organizations, including chapters of national organizations, which support the industry.
***The NH Lifestyle***
Dan Swift, Acadia’s General Counsel, also pointed out that the overall quality of life in New Hampshire can make it easier to recruit talent there. “It’s a good place to live, and there’s no income or sales tax,” Swift says. Hamblen sums it up neatly: “There are more opportunities to pay less in New Hampshire.”
The Granite State consistently makes it to the top of CQ Press’ lists of the most livable states and the safest states in the nation, and offers four seasons filled with recreational opportunities.
Explore the Opportunity
To help make the redomestication process run as smoothly as possible, the Insurance Department has partnered with the state’s Division of Economic Development to help interested insurance businesses learn more about the opportunities they have to succeed in New Hampshire. The Division’s Business Resource Center is a one-stop source for services ranging from licensing and permitting to low-interest financing and workforce training grants.
For further information on the benefits of New Hampshire for your insurance company, please contact Michael Bergeron, Business Development Manager, at (603) 271-2591 or email mbergeron@dred.state.nh.us.
About the NH Division of Economic Development
The New Hampshire Division of Economic Development, comprised of the New Hampshire Business Resource Center and the International Trade Resource Center, offer resources to enhance the economic activities of the state through business attraction outreach, in-state business expansion efforts, and facilitation of government and international sales. To find out more about why New Hampshire’s low business tax burden and sales and income-tax free tradition makes it the “Most Livable State” in the nation, visit http://www.NHEconomy.com, check out their “No Bull” Business Blog at http://blog.NHEconomy.com, and stay connected to NH Economy’s opportunities, grants, and news on Facebook at http://Facebook.com/NoBullBusiness.
About the NH Insurance Department
The first insurance regulator in the US, the NH Insurance Department was created in 1851 and charged with enforcing and administering New Hampshire’s insurance laws. The department, an agency of the executive branch of New Hampshire state government, conducts safety and soundness and market conduct examinations of licensees, licenses insurance companies and insurance producers, reviews premium rates and policy forms, provides assistance, information and referral services to New Hampshire insurance consumers, and administers the filing and collection of New Hampshire’s insurance premium tax. For more information, visit the Insurance Department’s web site at: http://www.nh.gov/insurance.
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Contact
NH Division of Economic Development
Steve Boucher
603-271-2341
www.nheconomy.com
Michael Bergeron
Business Development Manager
NH Division of Economic Development
(603) 271-2591
mbergeron@dred.state.nh.us
Steve Boucher
603-271-2341
www.nheconomy.com
Michael Bergeron
Business Development Manager
NH Division of Economic Development
(603) 271-2591
mbergeron@dred.state.nh.us
Contact
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