New and emerging markets see value in Bermuda captive market
New and prospective captive owners from emerging markets such as Canada and Europe have experienced Bermuda’s key industry role in the captive market first-hand at the Bermuda Captive Conference, according to conference chair David Gibbons.
More than 750 registrants attended the 13th annual conference, attracting captive owners, managers, brokers and service-providers for the three-day event.
While most attendees travelled to the island from the US, delegates also arrived from the UK, Canada, Belgium, France, Germany, Ireland, the Netherlands and Japan.
The aftermath of Hurricane Irma caused around 50 cancellations from registrants - primarily from Latin America - with temporarily shut down flights through Miami.
“Since then, however, many of those individuals have committed to attending our next conference in the spring,” said Gibbons.
Premier David Burt saluted Bermuda’s central role in the global insurance sphere: “It is a market that has long been a symbol of global excellence to corporations around the world, and which has provided captive services for half a century,” he said. “Bermuda is a mature insurance market—not just the leading domicile for captive insurance, but also home to a vibrant commercial insurance industry and a world capital for global reinsurance. You cannot find that focus of industry talent in any other captive domicile.”
Grainne Richmond, president of the Bermuda Insurance Management Association, added: “The commercial and excess carriers may be covering in the high numbers, but captives will be covering their fair share, as well, whether it’s hardware-store owners, or hospitals that may have part of their property or business interruption covered via their Bermuda captive. While exact numbers are not yet known, it is agreed by all that the support the captive industry provides will be substantial.”
The captive industry was also recognised for its positive impact on the island’s economy. A research study conducted by PriceWaterhouseCoopers for BIMA and released on the first day of the conference found Bermuda’s captive sector contributes an estimated $174 million every year to Bermuda’s economy and employs at least 557 people on the island.