The bill amends the Michigan Insurance Code of 1956, specifically section 4667, to clarify the participation criteria for entities in a sponsored captive insurance company. It allows various business entities, including associations, corporations, limited liability companies, partnerships, trusts, and others, to participate in such companies under the revised language. The bill also specifies that a sponsor can be a participant and that participants do not need to be shareholders or affiliates of the sponsored captive insurance company.

Additionally, the bill stipulates that participants may only insure their own risks or the risks of their affiliates or controlled unaffiliated businesses through the sponsored captive insurance company, unless otherwise approved by the director. The amendments include changes in terminology, such as replacing "pursuant to" with "under," and updating the title of the overseeing authority from "commissioner" to "director."

Statutes affected:
House Introduced Bill: 500.4667