Regulation

If a UK regulatory environment turns out not quite hitting the mark, a new generation of captive curious companies may have been flushed out, sold the dream but chosen Guernsey or another established domicile more suited to their needs.

It is important the United Kingdom’s commercial market respects captives as “a really good friend” rather than simply an “acquaintances” if a domestic regulatory regime is to succeed, according to Chris Lay, CEO of Marsh McLennan UK. 

A dynamic captive market is expanding choice for risk managers and enabling fronting insurers to better meet the needs of clients, according to Joshua Nyaberi, Head of Captive Fronting, Zurich Commercial Insurance.

CICA president Dan Towle believes the United Kingdom entering the domicile landscape could mark a new era for captive insurance and will be “incredible” for the captive industry.

Richard is joined by Paul Shimomoto and Matt Takamine to discuss recent activity in the domicile, accelerating interest from Japan and its upcoming 40th anniversary as a domicile.

While many factors contribute to a final decision around domicile selection – and every client may have unique requirements – costs, tax, and the regulator’s expertise are some of the most common considerations for captive owners. 

Richard discusses the shifting domicile landscape and the factors that go into choosing a jurisdiction with EY's Mikhail Raybshteyn and Ted Clabault, and Patrick Theriault, at Strategic Risk Solutions.

Credit rating agency Fitch is warning the UK government that a new, proportionate captive regime could lead to “growing pockets of risk” accumulating “outside the core regulated insurance sector” and increasing systemic risk.