Bermuda Captive Insurer Formations Tick Up in 2018
February 14, 2019
Bermuda licensed 19 new captive insurance companies in 2018, up slightly from 17 in 2017 and 13 in 2016, though the total number of captives in Bermuda continued to fall, domicile officials said Wednesday.
Business written by the new captives is a "good mix of property and casualty classes, including general liability, professional liability, workers compensation, and motor," Craig Swan, managing director, supervision (insurance), at the Bermuda Monetary Authority, said in a statement.
By design, the new captives cover "a diverse range of company structure, including pure captives, association captives, and long-term captives," Mr. Swan added.
Captive premiums totaled $40 billion, down from $54.7 billion reported for 2017 and $55.3 billion for 2016.
Even with the slight increase in captive formations, the total number of captives in Bermuda continued to fall as parents folded captives or moved them to other domiciles.
At the end of 2018, Bermuda had 711 captives, down from 739 in 2017 and 776 in 2016.
Even with the fall in its number of captives, Bermuda continues its status as the world's largest captive domicile. Its 711 captives compares to 703 captives in the Cayman Islands, the second largest captive domicile, and 558 in Vermont, the third largest.
February 14, 2019
