Cayman re/insurance registrations jump
The Cayman Islands Monetary Authority licensed 41 new insurance companies in 2023, the highest number since 2012, according to new statistics.
With 28 licences being cancelled, CIMA statistics said there were a total of 683 licenses issued - the highest since 2018 when there were 703.
Overall, there were 709 insurance companies registered in Cayman, of which 659 were Class B captives, also the highest number since 2018.
Of that total, 127 were group captives and 285 were pure captives. Class B(i) captives, which write 95% of their business from their parent, made up 460 of the companies, B(ii) companies, which write more than 50% of their business from related entities, made up 13 and B(iii) companies, which writes less than 50% of their business from related entities made up 186.
Class C insurers - companies authorised to issue catastrophe bonds - fell to 17 from 21 companies between 2022 and 2023, while Class D insurers - pure international reinsurers - rose to eight from seven in the year.
Between October and December 2023, CIMA issued fifteen new international insurer licences: eight B(i)s, six B(iii)s and one Class C, as well as two new portfolio insurance companies. Licences were also issued to eight portfolio insurers and one class D open market reinsurer. Traditional single-parent captives licensed as B(i) licensees from various industries have also increased in 2023.
The B(iii) licence class, majority third-party business, has seen a greater increase in numbers as the jurisdiction attracts new reinsurers, particularly life reinsurance companies.
In terms of business written, life re/insurance is by far the largest segment of the Cayman re/insurance market. in the fourth quarter of 2023, life re/insurance amounted to $33 billion in gross premiums written out of a total of $57.6 billion, while the sector's total assets were $65.5 billion out of a total of $138.6 billion.
The next biggest sector was workers' compensation with $6.2 billion in GPW and $18.8 billion is assets while property with $5 billion in premiums and $12 billion in assets was third.
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