**Hon. Allyson Maynard-Gibson, M.P.**

Minister of Financial Services and Investments, the Hon. Allyson Maynard-Gibson, says *“the story of the Registrar of Insurance Companies is exciting”.* Developments include the passage of the Domestic Insurance Act, and the realistic proposition that the External Insurance Act and the Regulations under both Acts will all be tabled before the end of the year. The new legislation, said Minister Maynard-Gibson, will provide the framework of reforms needed for the local insurance industry to position itself for “a more globalised, liberalised, and competitive future.”

**Captives**

The Bahamas International Insurance Association (BIIA) acknowledges that substantial progress has been made on reforming the External Insurance Act. According to President Hywel Jones, members of the BIIA believe the legislation – identified by the Minister of Financial Services and Investments as a legislative priority this year – can help re-establish The Bahamas as a niche market for captive insurance.

The revised Act, and new regulations, should provide the legislative framework to allow this jurisdiction to become competitive in the sector. Coupled with this, says Mr. Jones, will be the development of expertise in both the public and private sectors to ensure the administrative structure is in place.

Industry practitioners currently are providing feedback on the draft regulations. Estimates are that the captive insurance business can generate significant fees for the Registrar of Insurance, with spin-off benefits in the areas of tourism, professional services and banking.

According to CICA, the Captive Insurance Companies Association, currently there are some 5,230 captives operating around the world, with over 55% of these domiciled in the Non-US Western Hemisphere. Total assets represent more than $250 billion, with collective premium volume exceeding $50 billion annually.