Multinational cable specialists Prysmian Group SpA has received authorisation for Italy’s second captive reinsurance company, which it plans to merge with its existing Dublin captive.
Prysmian Riassicurazioni SpA has been authorised by the Italian insurance regulator, IVASS, and follows the licence granted to Enel Erre SpA, owned by energy multinational Enel SpA last month.
Captive Intelligence understands Prysmian Riassicurazioni will be self-managed with Alessandro De Felice, chief risk officer at the parent group, appointed CEO of the captive.
Similar to Enel’s re-domestication strategy, Prysmian’s plan is to merge its existing Dublin captive, Prysmian Reinsurance Company DAC, into the new entity which is expected to be completed by the end of February.
The captive’s board will have five directors, including an independent non-executive director, and four functions – risk, compliance, audit and actuarial – sourced from within the Prysmian Group.
Due to Prysmian’s captive being smaller than Enel’s, Captive Intelligence understands IVASS has agreed to a “lighter” regulatory approach, which could prove an important precedent for future re-domestications and new formations.
Prysmian has been advised by Professor Albina Candia, a lawyer and professor of insurance law in Milan, and Professor Marco Micocci of Mazars Italy as actuarial advisor.