The Bermuda captive market saw five new captive formations in the early part of this year and is looking “pretty healthy”, according to Jereme Ramsay, business development manager at the Bermuda Business Development Agency (BDA).
The BDA figures revealed that as of April this year, three new Class 1 captives, one new Class 2 captive and one new Class 3 captive had registered in Bermuda.
According to Ramsay, the start of 2018 had been positive across the whole of Bermuda’s insurance industry.
He said: “Overall, a total of 19 new insurers have already registered this year—we had a year-end total of 58 in 2017. Numbers of special purpose insurers have gone through the roof, and life companies are setting up a physical presence in Bermuda at a fast pace. That sector is definitely growing.”
“We are very optimistic about what this year is going to offer,” Ramsay added. “We’re definitely surpassing some past benchmarks. Specific to the captive arena, there are multiple captives that haven’t even hit the register, but I’m aware of them, and they’re in the pipeline.”
Ramsay attributes part of this success to a series of educational industry roadshows and forums the BDA has spearheaded in recent years in the US, Canada and Latin America.
He explained: “These events offer an opportunity to talk to new players, particularly the middle market that has a growing interest in captives. To see that evolution, or progression from the initial conversation, result in the setting up of a captive in Bermuda is extremely gratifying for the BDA, as well as our industry partners.
“Our initiatives are working, and it’s translating to new business, which ultimately means a stronger economy and more jobs created in Bermuda.”