TEXAS BANKERS ENDORSES KEYSTATE’S BANK CAPTIVE PROGRAM – MAY 2017
TBA Endorses KeyState’s Bank Captive Program
The Texas Bankers Association (TBA) and its subsidiary, TBA Services Company, Inc. (TBASCO), announce the endorsement of KeyState’s Bank Captive Program. KeyState Captive Management, LLC is a Nevada Limited Liability Company.
Texas banks with over $1 billion in assets will have the opportunity to form their own captive insurance company through KeyState’s Bank Captive Program. The captive augments a bank’s commercial policies by covering the existing commercial deductible layers, increasing coverage levels on existing policies (excess layers), and identifying other currently unfunded risks to insure where commercial insurance is not available to the bank. The captive insurance company is implemented by the insurance practice leaders at Crowe Horwath LLP, a national accounting firm, and then managed on an ongoing basis by KeyState Captive Management. Forming a captive allows a bank to formalize its self-insurance program, to realize efficiencies and savings related to insurance expenses and loss mitigation, and to take advantage of a small business incentive available under a section of the tax code.
“We are excited for the opportunity to work together with TBA and TBASCO to provide this compelling program and its benefits to banks in the state of Texas” says KeyState CEO Josh Miller.
The TBASCO board of directors first visited with KeyState representatives in the spring of 2016. TBASCO staff completed several months of vetting in February 2017 and the TBASCO board voted to endorse the captive program. “This program is already endorsed in 25 states and over 90 percent of Indiana’s eligible banks have formed their own captive insurance company since the Bank Captive Program was introduced by KeyState .” Said Brian Schneider, President & CEO The First National Bank of Beeville and TBASCO Chair. “Implementing the captive helps banks take a deeper look into their commercial insurance programs and the wider range of risks they face, resulting in likely positive impact to consolidated earnings.”
KeyState currently manages 70 bank captives across the nation, including a number of captives in the region. “We carefully considered the value of a captive program for Texas banks and believe KeyState’s program will be well received by our members,” says Wanda Stevens, TBASCO executive director and TBA vice president.
For more information about KeyState’s services contact Josh Miller or Hillary Frei at 702.598.3738 or Wanda Stevens at 512-472-8388 or [email protected].
About Texas Bankers Association and TBA Services Company, Inc.
Established in 1885, the Texas Bankers Association (TBA) is a trade association that provides information, education and advocacy to nearly 500 independent community and regional banks in Texas. TBA Services Company, Inc. (TBASCO), organized in 1987, is a wholly-owned subsidiary of the Texas Bankers Association and manages endorsement partnerships under the supervision of the TBASCO Board of Directors. TBASCO is tasked with identifying products and services in demand by the Texas banking industry and vetting for potential endorsement. For more information about TBA and TBASCO visit texasbankers.com/TBASCO or [email protected].
About KeyState
Founded in 1990, The KeyState Companies are based in Las Vegas, NV and provide banks with innovative and independent services and expertise. KeyState runs the largest bank captive program in the country and is also the country’s largest provider of investment subsidiaries to community banks. . KeyState is not a broker dealer. Learn more about KeyState Companies at http://www.key-state.com or call (702) 598-3738.