The Tribune

The Bahamas took further strides to attract captive insurance business at the annual CICA International Conference, which took place from March 11-12 in Palm Springs, California.

Representatives from the Bahamas Financial Services Board (BFSB) and the Insurance Commission of the Bahamas (ICB) attended the event, which attracted nearly 400 participants representing captive managers, captive owners, captive domiciles, actuaries and the accounting and legal professionals.

“There was particular interest in the Bahamas as a domicile for small and medium-sized captives,” said Aliya Allen, the BFSB’s chief executive and executive director.

She represented the Bahamas at the conference, along with Carl Culmer and Jamell Bodie from the ICB, and Janelle Sands from the BFSB. Nicolette Gardiner was also part of the delegation.

“Many of the individuals with whom we met also said the accessibility of our location is a real and distinct advantage, given that Board meetings for a captive are usually held in the domicile of choice,” Ms Allen said.

She added that a session on cell captives held during the conference was of particular interest, due to the recent growth of cell captives in the Bahamas.

“This is largely driven by the ability of a cell captive to mix the benefits of a standalone captive with the benefits of a group captive: Control and economies of scale,” Ms Allen said.

She added that there were several factors at play in re-establishing the Bahamas as a domicile of choice for captive and other insurance-related business.

“We have taken a number of important, and positive, legislative and administrative steps, and we will continue to do so as a jurisdiction,” Ms Allen said.

“But this internal groundwork must be balanced with ongoing external initiatives. We need a presence at events like CICA to let the market know we are very much interested in their business, and have the capacity and wherewithal to handle it.

“And there is the additional benefit and motivation of being exposed to developments, trends and client needs that help shape our evolution as a market-sensitive captive jurisdiction.

“Along with the regulator, we have been attending CICA for four years now, and each year we have returned with new insights that have allowed us to continue to build and enhance our insurance platform.”

The Captive Insurance Companies Association (CICA) was formed in 1972 and is the only domicile-neutral captive insurance association.

Its annual international conferences – this year themed ‘New Horizons’ – focus primarily on educational sessions to provide alternative risk professionals with the latest, most up-to-date viewpoints on captive insurance and risk retention groups.