George Town, Grand Cayman: 18 January 2016
The Cayman Islands captive insurance industry enjoyed robust new captive formation numbers throughout 2015 with 22 new licences being recorded, mirroring the previous year’s numbers exactly. The total number of B, C and D licencees domiciled in the Cayman Islands as at 31 December 2015 was 708, pure captives representing 369 of these, a further 140 being segregated portfolio companies with 124 being group captives. Combined, these licencees wrote premiums of US$12.7 billion (US$ 12.0 billion, 2014) and held total assets of US$58 billion (US$51.5 billion, 2014)
The continued soft “traditional” insurance market, the ripple effects of health care reform in the USA and increasing competition from more than 80 captive domiciles worldwide has required diligence on behalf of the industry to continue to attract new formations. Insurance Managers Association Cayman (IMAC) chairperson Kieran O’Mahony is confident about Cayman’s ongoing leading position in the captive market. “The continuous flow of new formations in the current climate is evidence of the enduring strength of our industry and the domicile. What is also of note is the sustained growth in premium written by Cayman licencees of almost 6% and the 12.5% increase in total assets held. Both of these rises speak to larger captives writing more lines of business, retaining more risk and most importantly, enhancing profitability. Further, group captives continued to expand during 2015 through organic growth as well as by new activations”, he said.
The Cayman Islands remains the leading jurisdiction for healthcare and group captives, with 34 percent and 17 percent of market share, respectively. Cayman captives are increasingly being put to use for innovative lines of business and risk such as insuring; employee medical stop loss, medical groups, cyber/privacy breach and equipment maintenance.
The full statistics are available through the Cayman Islands Monetary Authority at www.cimoney.com.ky.
For more information on this release, please contact:
IMAC General Manager
+1 345 949 4622
Insurance Managers Association of Cayman (IMAC) is a non-profit organisation run by the insurance managers of the Cayman Islands. In operation since 1981, IMAC’s aim is to act as both regulatory liaison with the Cayman Islands Government and to promote the Cayman Islands as a domicile of choice for captive insurance companies.