Veteran general counsel takes over division running the state's captive insurance companies
Today: Dennis Flynn named new state risk managerNew here? Follow stories to track developments over time. Create a free account to get updates when stories you care about change.
Overview
Updated 1 hour agoUtah's state government runs its own insurance operation, funding liability claims for agencies, schools, universities, and charter schools through captive companies instead of buying commercial policies. On Sept. 6, veteran attorney Dennis Flynn took over the division that manages that risk.
Flynn replaces Rachel Terry, who led the division since 2023 and, officials say, saved Utahns millions by keeping risk funding in-house. His task: hold the self-insurance model steady while keeping premium increases down for the state entities it covers.
Why it matters
Utah's captive program decides how much state agencies and school districts pay for coverage and who absorbs a big liability claim.
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People Involved
Organizations Involved
Insures and provides loss control services to Utah state agencies, school districts, higher education institutions, and some charter schools.
The state agency that oversees Utah's internal services, including the Division of Risk Management.
Coordinates Utah's public colleges and universities; Terry joined its Commissioner's Office.
Timeline
January 2022 September 2026
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Dennis Flynn named new state risk manager
Today AppointmentFlynn replaced Rachel Terry as director of the Division of Risk Management.
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Rachel Terry named state risk manager
AppointmentTerry took over the division and later expanded its captive insurance program.
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Flynn becomes division general counsel
AppointmentDennis Flynn took the top legal role at the Division of Risk Management.
Historical Context
2 moments from history that rhyme with this story — and how they unfolded.
California Earthquake Authority (1996)
After the 1994 Northridge earthquake produced about $12.5 billion in insured losses and insurers stopped writing new policies, California created the California Earthquake Authority, a publicly managed pool that funds claims from premiums and investment returns.
Homeowners got an earthquake coverage option again, backed by a pool rather than private insurers.
The model showed governments can stand up their own risk-funding vehicles when commercial insurance fails them.
Utah's captive companies follow the same logic: the state retains risk it used to pay private carriers to bear.
Public entity risk pools surge in the 1980s liability crisis
In the mid-1980s, commercial liability insurance prices spiked and coverage dried up for cities, counties, and schools. In response, thousands of public entities formed self-insurance pools to share risk directly, often called intergovernmental pools.
Municipalities regained liability coverage at predictable cost without commercial insurers.
Public self-insurance pools became a permanent feature of local and state finance.
Utah's captive program is a modern version of the same strategy: public entities keeping their own risk rather than buying commercial policies.
