Digital asset business insurance in Connecticut
Connecticut requires authorization for certain customer virtual-currency transactions and restricts when a licensee may place custody or control with a third-party vendor. A pure matching platform that never holds either party’s currency is treated differently in the Banking Department’s licensing FAQ. For insurance, identify the actual key holder and service vendors, then separately review crime, cyber, and E&O wording. 1,3
What Is Digital Assets?
Digital-asset coverage may address custody, theft and business-liability risks, but a custodian’s policy may protect the custodian rather than you. If you hold or safeguard assets, verify the insured entity, wallets, key-loss protection and valuation. Read the national Digital assets guide.
Connecticut Requirements
| Requirement | Details |
|---|---|
| Identify who holds or controls currency | Connecticut’s statute covers a licensee receiving, transmitting, storing, or having custody or control of virtual currency; a covered licensee may use a third-party custody/control vendor only if it meets the statutory license, exemption, or commissioner-approval conditions. 1 |
| Distinguish matching from transfer services | The Department of Banking says a platform limited to matching buyers and sellers without holding either party’s virtual currency is not required to obtain the cited money-transmitter license; holding currency, transmitting it, or providing certain administrative services changes that analysis. 3 |
| Account for the 2025 amendment | Public Act 25-66’s virtual-currency provisions took effect October 1, 2025, including authorization, custody-vendor, and customer disclosure/receipt requirements. 2 |
What to Watch for in Connecticut
A custody vendor can change the exposure
Prepare a wallet-control diagram naming the Connecticut licensee, any virtual-currency control vendor, who can authorize transfers, and whose contract owes the customer. Ask the broker to confirm which scheduled insureds, vendor claims, and customer-asset incidents the policy actually addresses. 1
Do not confuse a matching venue with a custodian
The Department’s FAQ draws a line between a software venue that only matches parties and a service that holds either side’s currency, transmits it, or performs stated administrative services. Describe the end-to-end flow, including momentary control and hosted wallets. 3
Customer disclosures do not promise insurance
The amended law requires specified virtual-currency authorization and disclosures/receipts by covered transmitters. Those customer protections do not establish that insurance covers a loss, nor that a licensee can satisfy every claim. 2,1
Who Regulates Insurance in Connecticut
Connecticut Insurance Department
The Connecticut Insurance Department licenses insurance producers and companies, oversees insurers and regulated insurance activity, and investigates insurance complaints. Its complaint and license-search services let you raise an issue or check an insurance professional or company. 4,5,6
Surplus-lines tax and stamping office
Reported tax rate: 4% of gross premium when Connecticut is the home state When Connecticut is the insured’s home state, surplus-lines tax is 4% of gross premium; certain state and local government insureds are exempt, and broker or policy fees are not part of the premium-tax base. Connecticut’s required notice says these policies are outside the state guaranty association. Most placements require three declinations or an export-list qualification; an exempt commercial purchaser may qualify for the federal § 8205 search exception after disclosure and a written request. 7,8,9
Providers With Documented State Licenses
No provider in Spot’s research documents both a state license record and this coverage line. This does not establish that providers are unlicensed. Check the regulator’s license lookup and confirm availability with a provider when requesting a quote.
Questions to Ask Before You Buy in Connecticut
- Which entity or vendor holds keys, can initiate or block transfers, and has control under the custody contract?
- Does the business merely match trades, or does it ever hold, transmit, or administer virtual currency for either side?
- Do proposed policies cover each operating entity and the custody vendor’s role for theft, unauthorized transfer, cyber incident and service error?
- Are customer disclosures, receipt obligations and claims handling responsibilities allocated consistently across the contracts?
Digital Assets in Connecticut: FAQ
Does a software-only matching platform need a Connecticut money-transmitter license? 3
The Banking Department’s FAQ says a platform that only brings buyers and sellers together and never holds either party’s virtual currency is not required to obtain the cited license. Holding or transmitting currency or providing certain administrative services is treated differently. 3
Digital Assets in Other States
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Delaware
- District of Columbia
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Carolina
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Texas
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming
Sources
- Connecticut General Statutes, Chapter 668, 2026 Supplement. Connecticut General Assembly; § 36a-595 definitions and § 36a-600 (licensee custody/control and virtual-currency control-services vendor conditions). Accessed 2026-09-28.
- 2025 Banking and Related Legislation. Connecticut Department of Banking; Public Act 25-66 summary; virtual-currency authorization, vendor custody, and disclosures/receipts; effective October 1, 2025. Accessed 2026-09-28.
- Virtual Currency Money Transmission License FAQs. Connecticut Department of Banking; FAQ on platform-only matching versus holding/transmitting currency and on remote customers. Accessed 2026-09-28.
- Connecticut Insurance Department. Connecticut Insurance Department; Official Department homepage; mission and department resources. Accessed 2026-09-28.
- Licensing. Connecticut Insurance Department; Department licensing resource landing page; links to state agent and company license lookup. Accessed 2026-09-28.
- Ask a Question or File a Complaint. Connecticut Insurance Department; Online complaint form and consumer affairs helpline. Accessed 2026-09-28.
- FAQs: Surplus Lines Brokers. Connecticut Insurance Department; Current tax rate, tax base and exemptions, diligent-search rules, guaranty-fund notice. Accessed 2026-09-28.
- FAQs: Surplus Lines Brokers. Connecticut Insurance Department; Question on surplus-lines notice states Connecticut Insurance Guaranty Association does not cover these policies. Accessed 2026-09-28.
- 15 U.S.C. § 8205: Streamlined application for commercial purchasers. U.S. House of Representatives, Office of the Law Revision Counsel; Broker's due-diligence search exception for an exempt commercial purchaser requires prior disclosure that admitted-market insurance may offer greater protection/regulatory oversight and the purchaser's subsequent written request for nonadmitted placement. Accessed 2026-09-28.
- Licenses. At-Bay; Current producer introduction and state table; At-Bay Insurance Services LLC; P&C and surplus-lines identifiers. Accessed 2026-09-21.
- Licenses and Carriers. Coalition; Licenses and Carriers, re-read 22 September 2026: Insurance Licenses table for Coalition Insurance Solutions, Inc., national producer number 18419475, with producer and surplus-lines numbers for all 50 states and DC including California 0L76155, Georgia 196479, Texas 2199630 and 2205589, Pennsylvania 815731 and 817452, Colorado 539028 and Wisconsin 3000108852. Insurance Carriers table naming, with NAIC numbers, Allianz Underwriters Insurance Company 36420, Arch Specialty Insurance Company 21199, Ascot Specialty Insurance Company 45055, Ascot Insurance Company 23752, Aspen Specialty Insurance Company 10717, Chaucer Insurance Company DAC, Coalition Insurance Company 29530, Fireman's Fund Indemnity Corporation 11380, Fortegra Specialty Insurance Company 16823, Lloyd's of London, MSIG Specialty Insurance USA Inc. 34886, MS Transverse Specialty Insurance Company 41807, Steadfast Insurance Company 26387, Vantage Risk Specialty Insurance Company 16275 and Zurich American Insurance Company 16535. Accessed 2026-09-22.
- Insurance Producer Licenses. Corgi Insurance; Current complete Insurance Producer Licenses table for Corgi Insurance Services, Inc.; 50 rows covering 49 states and DC (DC 3003091619); no New Mexico row; no NPN or as-of date shown. Accessed 2026-09-28.
- About Hiscox US Insurance. Hiscox; Hiscox Insurance Company Inc. NAIC 10200 as Chicago, IL domiciled insurer admitted or licensed in all 50 states and D.C.; Hiscox Inc. as general agent and Lloyd’s coverholder for Syndicates 33 and 3624; surplus-lines placements through licensed surplus-lines brokers; A.M. Best rating statement. Accessed 2026-09-16.
- Licenses. ERGO NEXT Insurance; Current entity-by-state license table reopened 28 September 2026: 50 rows under Next First Insurance Agency, Inc., including Washington, DC; New York rows instead list Next Insurance Services PC-1423070 and AP Intego BR-1198885. Accessed 2026-09-28.
- Insurance Licenses by State. TechInsurance; Current state table; identifies TechInsurance as a division of Specialty Program Group LLC d/b/a SPG Insurance Solutions; lists DC 3000041536 and labels Rhode Island “Individual licenses,” without an agency license number. Accessed 2026-09-28.
- Licenses. Vouch; Effective 16 January 2025: Vouch Specialty Insurance Services, LLC, NPN 19926463; P&C table (50 states and DC); surplus-lines table includes Idaho 870820; footnote says Georgia and Idaho do not issue agency-level surplus-lines licenses; Idaho retained as producer-only due to conflict. Accessed 2026-09-15.
