Term Life Insurance Lowdown: Wells Fargo requests US Labor Department to allow funding employee benefits through it’s captive

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Wells Fargo requests US Labor Department to allow funding employee benefits through it’s captive

San Francisco-based financial services industry giant Wells Fargo & Co has recently asked U.S. Labor Department for approval to fund employee benefits through its captive insurance company. The company wants to use Superior Guaranty Insurance Co. to reinsure group life and long-term disability policies. Superior Guaranty is a 16 year old Vermont Captive.

The US Labor Depart has earlier this year received a similar request from consumer food products manufacturer H.J. Heinz Co. The company had requested for approval to fund group term insurance policies written by Minnesota Life. Though initial approval on the request was given some months back, the final approval is expected to come sometime in the month of September. This year also saw pharmaceutical manufacturer AstraZeneca receiving a go ahead on the request of funding benefits through AstraZeneca’s Vermont captive. Business Insurance reports:

Wells Fargo, which has more than $500 billion in assets, now uses Superior Guaranty to fund a wide variety of corporate property/casualty risks. Last year, according to a filing with the Labor Department, Superior Guaranty generated more than $57 million in premiums, making it one of Vermont’s larger single-parent captives

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September 4, 2006 in News | Permalink