Guernsey: 40 New Captives For Guernsey In 1996

Last Updated: 10 February 1997
Guernsey has just experienced its best ever year for new captive insurance company registrations. During 1996, 40 new captives were registered, and with 12 companies surrendering their licenses, the net increase was 28, bringing the total of offshore insurers at the year end to 335 (324 captives and 11 offshore life companies).

The surrenders were mainly due to mergers and acquisitions of the captive parents. None of the captives were closed down because of financial difficulties.

Notable registrations during the year included captives set up by the Post Office (to write insurance for their low risk liabilities), British Energy Plc, National Express Group plc, the Medical & Dental Defence Union of Scotland, the Britannia Building Society and the Halifax Building Society. The latter insures customers against negative equity and Halifax is the first of the building societies to take advantage of new legislation which allows societies to form insurance subsidiaries other than for mortgage indemnity. Asea Brown Boveri (ABB), a global $34 billion engineering group, also registered two captives in Guernsey during the year.

As in previous years, the principal source of business remained the United Kingdom, with 25 out of the 40 new companies having a U.K. parent. However, there was a larger geographical spread this year, including Continental Europe, the Americas, Australia and the Far East. Four captives with South African parents were also registered, including Home Finance Guarantors (Insurance) Limited. This was set up by the Home Loan .Guarantee Company which provides guarantees to lenders in the country's home purchase market. By establishing this captive, Home Loan Guarantee has increased its capacity to support lenders in South Africa and, therefore, will no doubt play a significant role in helping the South African Government meet its target of building a million new, low cost homes over the next decade.

Following the merger Aon, Bain Hogg and Alexanders, the local captive management operations have joined forces to create Guernsey's largest insurance manager with over 80 registered companies. There were also three new captive managers authorised during 1996.

Legislative developments include progress on the proposed new legislation to supervise insurance intermediaries. The consultation stage is now over and the drafting process nearing completion. Work has also been finalised on protected cell companies and the resultant legislation (The Protected Cell Companies Ordinance, 1997) came into force on 29 January. Protected cell companies can be used in the context of both insurance and investment business. In the case of insurance, PCCs allow for core capital to be subscribed by insurance companies, insurance managers or participants themselves and can offer a practical alternative to stand-alone captives. The insurance business of different insurers can be written into different cells each of whose assets are protected in law from the liabilities of other cells. It is also possible given consent of the Commission to convert an existing company into a PCC.


Total as at December 1995                                 307

 New registrations during 1996:
 World Traveller Insurance Limited
 Anchorage Insurance Company Limited
 Panrexa Insurance Limited
 Cronos Containers Insurance Limited
 Britsafe Insurance Services (Guernsey) Limited
 Flightform Insurance Limited
 Horizon Holidays Insurance Limited
 Bee Insurance Limited
 Seafield Marine Insurance Company Limited
 Lochside Insurance Limited
 Travel Managers Insurance Company Limited
 Mid-Pacific Reinsurance Company Limited
 Railtrack Insurance Limited
 United Kenning Rental Group Insurance Services Limited
 Brownstone Insurance Limited
 Sure-ha International Limited
 PI Insurance Company Limited
 Millennium Life Assurance Company Limited
 Gamond Insurance Company Limited
 Garlan Insurance Limited
 Pi Underwriting Limited
 Broom Insurance Company Limited
 MDDUS Insurance Limited
 Home Finance Guarantors (Insurance) Limited
 ABB Reinsurance Company Limited
 ABB Power Insurance Limited
 Halifax Guarantee Insurance Company Limited
 Senator Insurance Limited
 Acacia Insurance Guernsey Limited
 Geest (Guernsey) Limited
 Martin Dawes Reinsurance Limited
 Bantam Insurance Company Limited
 PostCap Guernsey Limited
 National Express Guernsey Limited
 Mutual Indemnity (Bermuda) Limited
 Scimitar Insurance Company Limited
 Burnaby Insurance (Guernsey) Limited
 Transcor Insurance Limited
 Kingsmill Insurance Company Limited
 UNIC Insurance Limited                                    40 


Catoc Reinsurance Company Limited
Capacity Resources Insurance Company Limited
Caldaire Insurance Limited
Northwind Insurance Limited
Normandy Re Limited
The London & Channel Islands P & I Association
W&P Insurance Limited
Rusica International Insurance Company Limited
PC Insurance Company Limited
Stag Insurance Limited
Bankside Insurance Company Limited
Prolific International (Guernsey) Life Assurance Limited   12

TOTAL AS AT 31 DECEMBER 1996                              335


As at 31 December 1996, the total of 335 offshore insurance
 companies registered broke down as follows:

Pure captives              283
Broad captives              23
Commercial captives         18
Total Captives             324

Offshore life (active)       5 (Generali Worldwide, Nordben, Old 
                                Mutual International, South African 
                                Mutual, Sun Alliance)
Offshore life (running off)  6 (Abtrust, Continental Life, Cornhill 
                                Ins. (Gsy), European Life (CI), 
                                Finistere, Premium Life)


PARENTAGE           NO.           %

AUSTRALIA            1            2.5

BENELUX              3            7.5

BERMUDA              1            2.5

FAR EAST             1            2.5

MIDDLE EAST          1            2.5

SOUTH AFRICA         4           10.0

SWITZERLAND          3            7.5

UK                  25           62.5

U.S.A.               1            2.5

TOTAL               40          100.0

For further information contact Peter Crook on Tel: +44 (0) 1481 712 706 or fax: +44 (0) 1481 712 010 or e-mail:

Visit the Guernsey Financial Services Commission Web Site at Click Contact Link

The content of this article is intended to provide a general guide to the subject matter. Specialist advise should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Topics
Related Articles
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions