A Texas Certificate of Authority Application for a Captive Insurance Company is a formal document submitted to the Texas Department of Insurance, in order to be approved to operate a captive insurance company in the state of Texas. Captive insurance is a form of self-insurance where the insured party, or captive, creates its own insurance company to provide coverage for its own risks. A Texas Certificate of Authority Application for a Captive Insurance Company typically includes basic information about the captive insurance company, including its name, address, financial information, and the type of insurance it will provide. There are two types of Texas Certificate of Authority Applications for a Captive Insurance Company: single-parent captives and group captives. Single-parent captives are owned and operated by one entity, while group captives are owned and operated by two or more entities. The application must also include a detailed business plan, financial statements, and proof of the captive’s ability to meet statutory and regulatory requirements. Once approved, the captive insurance company can begin offering its services.