29 April 2016Actuarial & underwriting

BDA to help promote Bermuda captive industry in Canada

The Bermuda Business Development Agency (BDA) will lead a team of industry and regulatory experts to Toronto next month to detail the benefits to Canadian corporations of setting up captive insurance companies in Bermuda.

The panel will host an informative executive forum in downtown Toronto on Tuesday, May 10, in which representatives will outline the advantages of Bermuda-based captive insurance companies to self-insure a variety of risks, from healthcare and employee benefits to cyber disruptions.

Bermuda has been of growing interest to Canadian corporations following the June 2010 signing of the Canada-Bermuda Tax Information Exchange Agreement (TIEA), said the BDA, which allows Bermuda subsidiaries of certain Canadian corporations with international operations to be eligible for Canadian tax benefits, including the tax-free repatriation of certain dividends to Canada.

The forum, scheduled for 8:30 am–11:30 am at the Shangri-La Hotel, features two sessions, moderated by Joe DaSilveira, senior vice president of Liberty Mutual Management. The first, “Captive Solutions & Strategies,” will explain what a captive insurer is, a captive’s structure, key reasons to set up a captive, along with common risks insured, citing several case studies. A second session will focus on tax and regulatory considerations.

Industry speakers include: Oceana Yates, vice president, captives of R&Q Quest Management; Mark Allitt, advisory services manager, KPMG (Bermuda); Leslie Robinson, assistant director, corporate authorisations, Bermuda Monetary Authority (BMA); Christiane Kenny-Post, corporate manager, consultant, Compass Administration Services/ASW Law; and David Downie, partner, tax, financial services at KPMG (Canada).

“Bermuda offers Canada corporations a pragmatic, cost-effective solution in a blue-chip jurisdiction to manage the many complex risks facing today’s global businesses,” said Jereme Ramsay, business development manager, BDA. “We hope this presentation will highlight Bermuda’s strengths as a partner jurisdiction, and we welcome questions or requests for one-on-one meetings while we’re in Toronto.”

Yates added: “Canada and Bermuda have a long-standing relationship, which has resulted in many successful Canadian entities establishing a Bermuda presence. As such, we are delighted with the opportunity to share our experience and present about captives, addressing critical issues and highlighting some of the benefits that Canadian corporations typically look to achieve with a captive.

“The well-established historical ties between Canada and Bermuda were reinforced by the signing of the Canada-Bermuda TIEA,” she added, “and this has further enhanced business opportunities between the countries.”

BDA will return with a team of Bermuda insurance industry representatives to Canada this fall to attend the Risk & Insurance Management Society (RIMS) Canada conference in Calgary September 11–14.