David Burt, the Premier of Bermuda, has accepted responsibility for what appears to have been a case of human error when draft regulations were being edited that resulted in the country being blacklisted by the European Union.
The Insurance Managers Association of Cayman (IMAC) has welcomed the European Union (EU) report on non-cooperative tax jurisdictions, which does not feature the Cayman Islands.
Self-procurement taxes are by no means a new thing, but there may be a lot more attention in the captive insurance industry due to aggressive enforcement actions, most notably involving Washington State and Microsoft’s captive, Cypress Insurance Company.
Association Health Plans (AHPs) have been of significant interest to the captive insurance industry but have not taken off due to the US Department of Labour’s final rule disincentivising their use due to conflicts at a state and federal level.
The Secure and Fair Enforcement Banking Act (SAFE Banking Act), which was recently reintroduced in US Congress in March, may eliminate barriers at a federal level and create new opportunities for the captive insurance industry, specifically in relation to managing risks associated with the cannabis industry.
Butler University, the university known for setting up the world’s first student-run captive, has said that the captive will look at expanding its coverage over the next few years, and has third party coverage in the pipeline, professor Kevin Thompson told Captive International.
Captives are commonly accepted to be cheaper than the commercial insurance market, to be the best way to stabilise premiums through hard and soft markets, and to be the best place to handle cannabis risks - but is this accurate?
There is little crossover between academia and the insurance industry, which is especially true for the lesser known captive industry, and more work should be done to make students “industry ready”.
Although there has been a slight dip in captive numbers across Europe, this is not an accurate reflection of the health of the industry, which has shown signs of growth despite contending with issues surrounding Solvency II, BEPS, direct fronting and Brexit.
Board chair of the Captive Insurance Companies Association (CICA), Joel Chansky, will be stepping down from his position as his term ends on Wednesday, March 13, 2019.