Vermont is home to some of the most innovative companies in New England—including in the insurance industry. To foster that innovation, the Vermont Department of Financial Regulation invites companies with great ideas for new insurance products to apply for an innovation waiver to make those ideas a reality.
What is the Insurance Regulatory Sandbox?
The goal of the Insurance Regulatory Sandbox is to reduce regulatory hurdles for companies that want to introduce new concepts and products at the same speed as insurance technology develops. The law, Act 57 of 2019, allows the department to waive the specific requirements of an insurance law, regulation, or bulletin if its application would prohibit the introduction of a more innovative or efficient product or service and if the waiver would not put consumers at risk.
Eligibility Criteria
Companies applying for innovation waivers must be licensed insurers in Vermont. Products offered under the waiver must be made available to fewer than 10,000 consumers and waivers are limited to a 12-month period with the option for a one-time 12-month extension. During the waiver period, participating companies will be subject to enhanced regulatory oversight by the department. No waivers or extensions will be granted after July 1, 2021.
Intellectual Property
Although most materials are subject to Vermont’s public records laws, applicants can request exemptions for materials that are confidential or proprietary.
Innovation Waivers
Submit your company name, contact information, and a brief description of your proposed product or service in the form below, and the department will reach out to you to begin the waiver process.
The department must approve or deny innovation waivers within 60 days of a completed application, which includes a public comment period. There is also an expedited application process for a product or service that is substantially similar to one for which a waiver has previously been granted by the department.