Beijing Airport Captive Management Consulting (BACM) and Guernsey-based insurance manager Alternative Risk Management (ARM) have established a joint captive insurance venture together.
ARM will work with BACM in creating captive structures and providing captive management services for Chinese businesses.
This follows last week's news that Brilliant Reinsurance (Guernsey) had become Guernsey's first Chinese insurance company, focussing on retro business from the Lloyd's market.
Guernsey has signed numerous MoUs with Chinese regulators and other industry bodies to provide a foundation in which Guernsey can develop business with Chinese service providers and clients.
BACM is the only captive insurance consulting group in China and is supported by the Beijing Airport Economic Core Zone (BAECZ).
Charles Scott, managing director at ARM, believes captives are going to be at the forefront of innovation in China's insurance market.
“Chinese companies with international operations and those looking at expanding overseas are considering ways to use captive vehicles for their risk management needs rather than having to insure through the commercial market,” said Scott.
“It is therefore an opportune time to have established a key partnership on the ground in Beijing. The fact that Guernsey Finance signed an MoU with the Beijing Airport Economic Core Zone in March really facilitated our own agreement.”
BACM, ARM, Captives, MoUs, China, Guernsey