What Venture Capital Asset Protection Insurance Requirements Apply in Delaware?

Delaware’s adviser summary sets minimum net worth of $10,000 for discretion and $35,000 for custody. Those financial-responsibility thresholds concern the adviser, not the amount of liability insurance a fund should buy. The SEC exemption from federal registration is not a blanket state exemption, so confirm the adviser’s state filing position and list the correct entities for insurance.

What Is Venture Capital Asset Protection Insurance?

Venture capital asset protection can combine management and professional liability for a venture or private-equity fund and its managers. The label is not a standard coverage package, so check which funds, partners, board roles and claims the quote includes. Read the national Venture capital asset protection guide.

What to Watch for With Venture Capital Asset Protection in Delaware

Check the State Adviser Filing
Delaware’s adviser summary sets minimum net worth of $10,000 for discretion and $35,000 for custody. Those financial-responsibility thresholds concern the adviser, not the amount of liability insurance a fund should buy. Confirm the regulator-facing status of the adviser entity; do not assume SEC exempt-reporting treatment settles it. ^2,¹
Map Each Fund and Manager Entity
If a Delaware adviser has custody or discretion, distinguish state net-worth conditions from policy limits; neither determines the other. Give the broker the fund, GP, adviser and management-company chart, then ask how the policy coordinates with each entity’s indemnification obligations under its governing documents and organizing law. ^3,¹
Match the Policy to Fund Work
Do not treat Delaware adviser net-worth figures as a proxy for the liability limit to buy. Ask for a written schedule of funds, management entities, partner board seats and covered professional services; the product label does not establish those terms. ^1,²

Providers With Delaware License Records

No provider in our research has both a state license record and a listing for 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.

Who Regulates Insurance in Delaware?

Delaware Department of Insurance

The Delaware Department of Insurance licenses and regulates insurers and insurance producers, reviews regulated insurance activity, and handles complaints. Its consumer division can help you raise an insurance concern and its services page links to official license searches. ^4,^5,⁶

Website: Regulator website
License lookup: Search licensed producers
Complaints: File a complaint
Phone: (800) 282-8611

Surplus-Lines Tax and Stamping Office in Delaware

Reported tax rate. 3% of gross premium, less return premium, when Delaware is the home state ^7,⁸

When Delaware is the insured’s home state, its 3% surplus-lines premium tax applies to the entire premium of a multistate policy, less returned premiums and excluding federal and state taxes and examination fees. Ask the surplus-lines broker to confirm the home-state determination and tax calculation, and separately explain how exposures are allocated in the required reports; those allocations do not reduce the premium subject to Delaware’s tax.

Questions to Ask Before You Buy Venture Capital Asset Protection in Delaware

Which adviser, management company, general partner and funds does this proposal insure by name?
Does the policy include outside-director protection for partners serving on portfolio-company boards?
Are limited-partner allegations about fund disclosures or governance within the covered professional services?

Venture Capital Asset Protection Insurance in Delaware: FAQ

Is the federal venture capital adviser exemption enough for state registration in Delaware?

No. The SEC describes an exemption from federal registration for advisers solely to venture-capital funds, while state adviser rules remain a separate question. Delaware’s adviser summary sets minimum net worth of $10,000 for discretion and $35,000 for custody. Those financial-responsibility thresholds concern the adviser, not the amount of liability insurance a fund should buy. Check the applicable state filing status for the adviser and its representatives. ^1,²

What Delaware adviser rule should a VC fund check before buying VCAP?

The state adviser-registration summary says: Delaware’s adviser summary sets minimum net worth of $10,000 for discretion and $35,000 for custody. Those financial-responsibility thresholds concern the adviser, not the amount of liability insurance a fund should buy. Separate this filing or financial-responsibility rule from liability coverage, then ask the broker whether the policy covers the adviser, GP, management company and funds. ^2,¹

Which entities should a venture fund in Delaware include in its VCAP application?

Include the fund, GP, adviser and management company, plus partners’ portfolio-company board roles. If a Delaware adviser has custody or discretion, distinguish state net-worth conditions from policy limits; neither determines the other. Ask the insurer to confirm which entities, services and board seats are covered in writing. ^1,³

Sources for Venture Capital Asset Protection Insurance in Delaware

1
Private Fund Adviser Overview. U.S. Securities and Exchange Commission; Federal exemptions for advisers solely to venture capital funds; state registration may also apply. Accessed 2026-09-28.
2
Delaware Investment Adviser Registration Information. North American Securities Administrators Association; State investment adviser registration requirements and regulator reference. Accessed 2026-09-28.
3
Delaware Legal Materials. Legal Information Institute, Cornell Law School; Constitution and Legislation; official state statutes portal. Accessed 2026-09-28.
4
Delaware Department of Insurance. Delaware Department of Insurance; Official Department homepage and regulatory resources. Accessed 2026-09-28.
5
Services. Delaware Department of Insurance; Department service directory links to the state insurance licensee search. Accessed 2026-09-28.
6
Consumer Services. Delaware Department of Insurance; Complaint filing and consumer assistance; publishes Consumer Services phone. Accessed 2026-09-28.
7
Surplus Lines Bulletin 22. Delaware Department of Insurance; Surplus Lines Bulletin 22 (October 2025; printed day is blank), reproducing 18 Del. C. § 1925: home-state tax treatment, all premium on multistate policy if Delaware is home state, 3% rate, and exclusion of federal/state taxes and examination fees from gross premium. Accessed 2026-09-28.
8
Delaware Code, Title 18, §§1923–1925. Delaware General Assembly; §1923(a)(1),(12) home-state verification and allocation records; §1924(b)(3)–(6) separate premium reporting; §1925(b)–(c) 3% tax, deductions/exclusions and full multistate premium when Delaware is home state. Accessed 2026-09-28.
9
Licenses. At-Bay; Current producer introduction and state table; At-Bay Insurance Services LLC; P&C and surplus-lines identifiers. Accessed 2026-09-21.
10
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.
11
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.
12
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.
13
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.
14
Licenses & Disclosures. RiskCube; Property & Casualty Producer/Broker Licenses; February 11, 2026 version. Accessed 2026-09-16.
15
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.
16
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.