One of the fastest growing areas in the insurance sector is the formation of a captive insurance company. Indeed, many companies are turning towards the creation of a captive to self-insure their risks and avoid extra cost that insurers charged. A captive is an insurance company formed to insure or reinsure the risks of its parent and affiliated entities within its group. One of the key functions of a captive is to facilitate the efficient financing of risk within the group and therefore serves as a sophisticated in-house risk carrier.
Key Features
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Mauritius Captive Insurance |
Corporate Details |
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General |
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Insurance Company |
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Yes |
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Yes |
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1 Business Day |
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3% |
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No |
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Share capital or equivalent |
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USD (local currency) |
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Any |
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No minimum |
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US$ 835,000 |
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Yes (but required to be immobilized by the registered agent) |
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Yes |
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Directors |
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2 |
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Yes |
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No |
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Shareholders |
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One |
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No |
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Company Secretary |
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1 |
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Yes |
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Accounts |
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Yes |
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Yes |
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Yes |
Advantages
- Cash flow is enhanced as an organization can time premium payments to fit in with its own cash flow situation.
- Captive insurance allows organizations direct access to the reinsurance market.
- Through direct access to the reinsurance market; over time, successful underwriting creates surplus in the captive, enabling the parent to increase retentions lowering its dependency on reinsurance.
- Enjoy the benefit of purchasing particular coverage's that are unavailable or unacceptably priced in the commercial insurance market.
- The captive earns investment income on premiums and capital during the period over which losses are paid out.
The Valsen Advantage
- Speedy, Efficient and consistent Services.
- Relentless effort to obtain bank accounts.
- Expert advice on structuring options.
- Dedicated ongoing compliance support.