The Cayman Islands Monetary Authority (CIMA) has released its licensing statistics for the second quarter of 2024, indicating a significant increase in new international insurance company licenses.

Between April and June, CIMA issued 12 new licenses, including three B(i), one B(ii), six B(iii), one C and one D reinsurance licenses. In addition, two new insurance managers were licensed.

Get the latest reinsurance news straight to your inbox twice a week. Sign up here

This brings the total number of new international insurance licenses issued in 2024 to 24, a 50% increase compared to the same period in 2023. As a result, there are now 700 Class B, C and D insurance companies licensed in the Cayman Islands, with approximately $40 billion in written premiums and $151 billion in total assets. These figures exclude individual cells.

The regulator explained that growth in licensing activity in the first half of 2024 exceeded expectations, indicating a strong outlook for the rest of the year.

Kieran Mehegan (pictured above), president of the Insurance Managers Association of the Cayman Islands (IMAC), noted the continued expansion of the industry, particularly in response to the challenging market environment for some lines of coverage.

“We are seeing growth across all types of captives as insureds face a challenging market for certain lines of coverage, face capacity shortages, and deal with coverage constraints,” said Mehegan. “The life and pension reinsurance sector is also seeing growth, driven by pension providers seeking to improve capital efficiency. This growth was particularly evident in the second quarter, given the diversity of licensees and license classes. It is very encouraging to see single-parent and group captives flourish alongside new commercial reinsurers.”

Read more: First Reinsurance Conference Launched in Cayman Islands

Mehegan stressed that these developments contribute to enhancing the Cayman Islands’ reputation as a leading region in the field of international insurance, confirming its attractiveness for business.

IMAC also encourages those interested in the Cayman Islands captive insurance sector to attend the Cayman Islands Captive Insurance Forum, scheduled to be held from December 3-5, 2024, at the Ritz-Carlton, Grand Cayman.

IMAC acts as the representative body for the international insurance industry in the Cayman Islands, working closely with government and regulators to promote innovation and maintain the jurisdiction’s competitive advantage. The Cayman Islands is home to the world’s second largest captive insurance companies and is a key market for healthcare captives, group captives, catastrophe bonds and international reinsurance.

What do you think of this story? Feel free to share your comments below.

Get the latest reinsurance news straight to your inbox twice a week. Sign up here