Cayman Insurance Sector Adds CI$233 Million Annually to Economy

The Cayman Islands' international insurance and reinsurance industry contributes approximately CI$233 million each year to the local economy, according to a newly released Economic Impact Study by the Insurance Managers Association of Cayman (IMAC) and Cayman Finance. The study was conducted by consulting firm FTS, with supplemental data from the Cayman International Reinsurance Companies Association (CIRCA).

The report outlines both direct and indirect economic benefits of the sector, including government revenue, employment, professional services, and its effect on tourism and charitable contributions. Of the total impact, over CI$136 million was spent on local service providers—including legal, accounting, and compliance firms—while CI$18 million went to government fees.

IMAC chair Kieran Mehigan said, "The findings of this study underscore the critical role that international insurance and reinsurance play in our financial services sector and the broader Cayman economy."

The study also found that the sector supported 256 direct jobs, with nearly half held by Caymanians and over 72 percent by Caymanians or permanent residents. Additionally, industry-related travel generated more than 40,000 business traveler stayover days, linking insurance activity to the tourism sector. The industry also contributed CI$387,000 to local charities.

Brittany MacVicar, associate director at Cayman Finance, said, "This report reinforces the international insurance sector's role as a driving force behind the Cayman Islands' economic growth."

FTS conducted the analysis through member surveys and interviews with key stakeholders, while CIRCA contributed data to provide a broader industry perspective. The report emphasizes the sector's growing role in job creation, business development, and education through scholarships and workforce training initiatives.

Gregg Mitchell, CIRCA chair, said, "The international insurance sector is a major pillar of our financial services industry, and its continued growth will be instrumental in shaping Cayman's economic future."

The full report is available on the IMAC website.