Growth figures for captive insurance, reinsurance, life and annuity company formations in the Cayman Islands nearly doubled in 2016.
The Cayman Islands insurance management industry has reported figures rising from 22 new formations in 2015 to 39 in 2016.
Total premiums written for the sector were at $14.6 billion, up from U.S. 13.9 billion in Q3 2016; a $0.8 billion gain in total assets which are now at 59.8 billion.
Insurance Managers Association Cayman (IMAC) chairperson Kieran O’Mahony paid tribute to “the diligence and innovation of the Cayman Island’s insurance managers, our network of service providers throughout the globe who support both our industry and our domicile and the fit for purpose regulatory, immigration and governmental regimes here in Cayman.
“These elements, along with our best in class clients are what maintain the Cayman Island as the domicile of choice in a competitive environment.”
North America is home to 90% of risks insured in the Cayman Islands; Medical Professional Liability is currently the top risk Cayman Island captives are used for, and workers’ compensation makes up the second largest category of insured risk, with approximately 21% of captives assuming this risk.
O’Mahony commented; “there are increasing inquiries from and formations of, third-party writing entities underwriting varying degrees of controlled or open market third party business which is extremely positive for the domicile.”
The Cayman Islands saw continued expansion of its Portfolio Insurance Company (PIC) entities with innovative uses of PICs as well as strong organic growth in its captive space; the total number of international licensees in the Cayman Islands in 2016 was at 711.
