{"id":7083,"date":"2025-07-15T10:00:43","date_gmt":"2025-07-15T10:00:43","guid":{"rendered":"http:\/\/calebdewey.com\/?p=7083"},"modified":"2025-07-15T10:26:22","modified_gmt":"2025-07-15T10:26:22","slug":"industry-welcomes-uk-captive-insurance-regime-green-light","status":"publish","type":"post","link":"http:\/\/calebdewey.com\/index.php\/2025\/07\/15\/industry-welcomes-uk-captive-insurance-regime-green-light\/","title":{"rendered":"Industry welcomes UK captive insurance regime green light"},"content":{"rendered":"

Several firms, including the London Market Group (LMG), the International Underwriting Association (IUA), and LIIBA, have welcomed the Chancellor of the Exchequer\u2019s announcement that HM Treasury will proceed with introducing a UK regime for captive insurance companies.<\/p>\n

\"\"The announcement follows a multi-year campaign calling for a dedicated and proportionate regulatory regime for captive insurance companies.<\/p>\n

Readers may recall that, in November 2024, the UK government launched a consultation on introducing a new framework for captive insurance companies<\/a>.<\/p>\n

The consultation reportedly received 42 responses, primarily from insurance industry stakeholders, including trade associations, insurers, and insurance brokers.<\/p>\n

Following the Chancellor of the Exchequer\u2019s announcement that the government, in close collaboration with financial regulators, intends to move forward with the introduction of a new UK captive insurance framework, the LMG has expressed confidence that this regime will provide a valuable risk management tool for both UK and international plcs.<\/p>\n

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The group also anticipates the development to strengthen London\u2019s position as the global hub for risk transfer and insurance.<\/p>\n

“The London Market is grateful for the support of the Chancellor and the City Minister Emma Reynolds, as well as to the many firms and individuals who have supported the campaign over the last two years,” the LMG said.<\/p>\n

Sean McGovern, Chair of the LMG, commented, \u201cIf London is to retain its position as a global centre for risk transfer, it needs to be able to offer all the tools in the toolkit.<\/p>\n

“This announcement is clear evidence of the government recognising the London Market\u2019s role as a contributor to growth and delivering on commitments to support the industry as we continue to enhance the market\u2019s world-leading position.<\/p>\n

“British companies and public sector institutions now need to join us in encouraging the regulators to move at pace to establish an attractive and dynamic UK captive regime so they grasp the opportunities offered by the announcement today with both hands.<\/p>\n

\u201cCaptives are taking centre stage as part of the established and long-term risk financing strategies of many important commercial organisations.<\/p>\n

“It is a rapidly growing global industry, with captive premiums estimated to reach US$161 billion by 2030, and other onshore jurisdictions \u2013 including France and, more recently, Italy are opening their doors.<\/p>\n

“It is fitting that the UK is part of this growing sector, and critical for the London Insurance market so it can retain a leading global position with an enviable world-class reputation.\u201d<\/p>\n

Caroline Wagstaff, CEO of the LMG, said, \u201cThe announcement of the consultation on protected cell companies is very welcome as this offers real choice for UK companies of all sizes in the use of captives and genuine differentiation.<\/p>\n

“A clear timetable for delivery is also a real plus, it will help everyone to track progress and work at pace to deliver a world-beating regime.”<\/p>\n

As previously noted, the IUA has also welcomed the announcement of a new regulatory regime for UK captive insurers. Chris Jones, Chief Executive of the IUA, stated, \u201cThere is a tremendous opportunity for the UK to become a leading domicile for captive insurance companies.<\/p>\n

“Both our world-class insurance talent pool and extensive financial ecosystem, in the London Market and nationwide, provide a strong foundation for this initiative.<\/p>\n

\u201cA clear and predictable regulatory regime will enhance investor trust, encourage inward investment and help create more high-paying specialised jobs. In order to be successful, it must also be actively promoted, with responsive, cost-effective supervision that minimises market barriers to entry.<\/p>\n

\u201cThe prospect of a UK captives regime has already generated significant interest, and the IUA looks forward to working with the Government in its promotion.\u201d<\/p>\n

Meanwhile, Christopher Croft, Chief Executive, LIIBA, said, “LIIBA welcomes the Chancellor\u2019s announcement that the government is going to progress the work to build a captives regime in UK. This will provide a valuable alternative for our members when seeking the optimal outcome for their clients\u2019 risk management needs.<\/p>\n

“It should also consolidate London\u2019s position as the risk management capital of the world by ensuring all necessary solutions are achievable here. But, as previous experience has shown, the regime will only deliver success if the technical framework is complemented by a culture within the regulators focused on making it work. We look forward to working with FCA and PRA to ensure this.”<\/p>\n

The post Industry welcomes UK captive insurance regime green light<\/a> appeared first on ReinsuranceNe.ws<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Several firms, including the London Market Group (LMG), the International Underwriting Association (IUA), and LIIBA, have welcomed the Chancellor of the Exchequer\u2019s announcement that HM Treasury will proceed with introducing a UK regime for captive insurance companies. The announcement follows a multi-year campaign calling for a dedicated and proportionate regulatory regime for captive insurance companies. […]<\/p>\n","protected":false},"author":1,"featured_media":4964,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[10],"tags":[],"_links":{"self":[{"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/posts\/7083"}],"collection":[{"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/comments?post=7083"}],"version-history":[{"count":3,"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/posts\/7083\/revisions"}],"predecessor-version":[{"id":7086,"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/posts\/7083\/revisions\/7086"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/media\/4964"}],"wp:attachment":[{"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/media?parent=7083"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/categories?post=7083"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/calebdewey.com\/index.php\/wp-json\/wp\/v2\/tags?post=7083"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}