CAPTIVES 143
CAPTIVE PREMIUM €1.43bn
LEGISLATION Insurance Act 2008 and Protected Cell Companies Act 2004
CAPTIVE TAX RATE 0%
FEES £4,250 (€5,030)
REGULATOR Insurance and Pensions Authority
The Isle of Man is one of Europe’s oldest captive centres, having been a recognised captive domicile since 1982. It has had PCC legislation in place for a number of years and has announced plans to adopt ICC legislation soon.
Most of its business centres on life insurance but it has also attracted the attention of large international players, including Tokio Marine, which has set up a reinsurer on the island.
The Manx authorities pride themselves on a partnership approach to give companies maximum flexibility within a stable environment, and they have helped to win business from other European domiciles.
An industry player says key factors for choosing the Isle of Man include its competitive capital and solvency requirements, and a generally pragmatic regulatory approach.
They add that experienced people and easy access to the UK mainland makes the Isle of Man extremely attractive when viewed against other European captives. Other good points cited include a fast authorisation process and capital requirements in proportion to the size of business.
The Isle of Man and Guernsey tend to be mentioned together because of their close links with the UK and their innovative approaches – and also because they are outside of the EU in terms of Solvency II. In its last European captive review, rating agency AM Best predicted that the Isle of Man may well benefit from growth as firms look to step outside the EU while keeping a European presence.
