The Insurance Managers Association of Cayman is expecting 2017 to be another successful year for the industry. So far this year, 20 Class B licences have been issued, eleven of which represent third party insurers, as well as three Class C licences, and with the final quarter, normally the busiest of the year, still to come, industry experts are expecting 2017 to equal the 2016 growth. The third quarter alone saw seven new Class B formations, and IMAC Chair Linda Haddleton said the picture so far looks positive.
“And it 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,” she said. “This is rewarding news for the jurisdiction and demonstrates the continued confidence in the Cayman Islands as a jurisdiction.”
She added, “It is particularly pleasing to note the number of captives formed to write 3 rd 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.”
The new licensing activity across the entire spectrum of risk in 2016 and 2017 and the longevity of hundreds more existing licensees are testament to the business standards in Cayman, the insurance expert said.
“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,” Haddleton said, as she explained some of the reasons for the industry’s success.
“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,” she stated.
News source: CNS