Discovered by Christopher Columbus in 1503, the Cayman Islands are a group of Islands lying in the Caribbean Sea, south of Miami, Florida and west of Montego Bay, Jamaica. The capital and business centre is George Town, located on Grand Cayman, which is the largest of the three islands. Although politically linked to Jamaica, the Cayman Islands opted to remain a British Crown Colony when Jamaica attained independence in 1962.
The Cayman Islands are considered one of the leading offshore financial jurisdictions world-wide and home to 47 of the world's top 50 banks. In recent years, there have been a number of significant developments, including the formation of the Cayman Islands Monetary Authority and the establishment of the Cayman Islands Stock Exchange ("CSX") in 1997, which is now one of the fastest growing stock markets world-wide, offering listing facilities for offshore mutual funds.
Interested in Setting Up a Captive in the Cayman Islands?
- Call Tom Clark +1 345 914 7501
- E-mail Tom Clark
More Information
General Information
Government
British Crown Colony with effective self government.
Legal
English common law supplemented with local statutes.
Taxation
There are no income, capital gains, estate or any form of taxes on individuals or corporations.
Currency Control
There is no exchange control.
Regulatory Environment
All insurance activities are subject to the Insurance Law (2004 revision).
Licences
Captive companies operate under Class B insurer’s licences either Restricted (parent or group business only) or Unrestricted (any business).
Insurance Manager
Every Class B licensee must appoint a licensed Insurance Manager to maintain its books and records.
Auditors
Every licensed insurer must appoint an independent, approved auditor to report annually on the financial statements of the insurer.
Solvency Margins
Apart from the minimum net worth requirements, there are no further solvency requirements nor are there any specific ratios set out in the Insurance Law limiting the amount of premiums which may be assumed by a licensee relative to its capital and surplus. These issues are agreed with the regulators at the time of licensing and are contained in the Business Plan.
Licensing Process
Applications for a licence are made on the approved form and take approximately 4-5 weeks to process.
Directors
There is no requirement to appoint local directors but one director's meeting must be held on the island in each calendar year.
