Following an excellent year for new insurer licenses issued in 2016 (39 in total), the Cayman Islands Insurance Industry has set a brisk pace to new formations so far in 2017 with 23 new licenses issued. The 3rd quarter saw 7 new Class B formations which include 2 third-party Insurers. For the whole of 2017 to date there have been 20 Class B licenses issued, 11 of which represent third party insurers, and 3 Class C licenses.
IMAC Chair, Linda Haddleton,says “The picture so far in 2017 continues to look positive and is expected to improve further as we move into the 4Q which is traditionally the busiest season for new formations, as a result Cayman looks on track to repeat the success of 2016. This is rewarding news for the jurisdiction and demonstrates the continued confidence in the Cayman Islands as a jurisdiction”.
“It is particularly pleasing to note the number of captives formed to write 3rd party business as the diversity of Cayman licensees continues to develop and shows the undoubted strength of innovation in the Cayman Islands market and the ability to create alternative risk financing solutions.”
“There is no doubt that trade and commerce becomes more global every day, bringing many challenges but also opportunities. The more broad your experience, the more innovative you tend to become. Exposure to wide-ranging financial structures allows for lateral thinking when it comes to innovative structuring and development of appropriate regulations. Given the range of well-established sectors in our financial services industry, the Cayman Islands is well positioned to facilitate global business of an insurance nature. This may represent the higher risk end of the spectrum for our industry, but this is where the priority to quality over quantity that is the hallmark of the Cayman Islands Insurance Industry will influence success.”
The new licensing activity across the entire spectrum of risk that we have seen in 2016 and 2017 to date, and the longevity of hundreds more existing licensees, are testament to IMAC’s proclamation: Cayman Islands – Clearly Better Business.