Britain's formal notification of its exit from the EU on 29
March, days after the EU celebrated its 60th anniversary, marks a
historic turning point in tough negotiations with EU 27 Member
States during the two-year countdown to UK's final separation.
The wider implications of UK's exit shall unfold during the
next months in negotiations led by EU Chief negotiator Michel
Barnier and constructive talks that commenced last week between EU
Council President Donald Tusk and Prime Minister Theresa May to
pave the way for UK's final withdrawal and a new relationship
between the EU and the UK.
One of the grave anticipated losses resulting from UK's exit
include its exclusion from the single market, namely its exclusion
from the free movement of goods, services and workers within the
EU. This will also impact insurance businesses in the UK which will
lose their right of direct access to the single
However, several UK insurance businesses are studying
alternative scenarios involving migrating their European business
to other member states, with Malta being one of the preferred
The accessibility of the Maltese jurisdiction and institutions,
a stable political framework, excellent communication, a
well-educated English-speaking workforce and a Mediterranean
climate are some of the many attributes Malta has been hailed for
by all insurance business partners which relocated their operations
to this jurisdiction. Malta's appeal as an insurance
jurisdiction is further supported through its experience as a seat
of various international (re)insurance undertakings, the continued
enjoyment of all the benefits of EU membership including
passporting facilities to all other EU/EEA jurisdictions and
infrastructure for re-domiciliation and cross border mergers, the
extensive measures for the transfer of insurance business through
portfolio transfers and the availability of a multitude of
Internationally renowned highly-qualified and highly-experienced
service providers readily available at a fraction of the cost
traditionally experienced in the busier financial services centres
Another factor which has made Malta a popular destination for
(re)insurance undertakings is the avant garde structures
available under Maltese legislation which allows (re)insurance
undertakings to be created as Protected Cell Companies (PCCs). A
PCC is a regular trading company which can create one or more cells
for the purpose of segregating and protecting the cellular assets
from each other and from the assets of the company. This enables
promoters to come together within the PCC framework and to share
overhead costs whilst being protected from each other's
liabilities. Alternatively, a single promoter can write separate
lines of business from separate cells, thus segregating each line
Brexit has as of late highlighted the many advantages to be
gained through the EU that the loss of membership will be leaving
the UK lacking. Today, the EU 27 are committed to work together to
reinforce the continued importance of maintaining the EU intact for
the collective benefit of all jurisdictions, citizens and
commercial undertakings which form part of it.
As one of the leaders in the insurance legal sphere, with a
dedicated team of insurance and reinsurance lawyers and experts, we
at GANADO Advocates can work with you and provide you with the
necessary support in the coming months in creating contingency
plans, with Malta as an ideal destination for your commercial
1. Also, the United Kingdom leaving the Union will impact
EU businesses trading with and operating in the United Kingdom and
UK businesses trading with and operating in the Union. Similarly,
it may affect those who have entered into contracts and business
arrangements or take part in EU-funded programmes based on the
assumption of continued British EU membership. Nations should seek
to prevent a legal vacuum once the Treaties cease to apply to the
United Kingdom and, to the extent possible, address
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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This Q&A gives an overview of key recent developments affecting doing business in Turks and Caicos Islands as well as an introduction to the legal system; foreign investment, including restrictions, currency regulations and incentives; and business vehicles and their relevant restrictions and liabilities.
On January 16 2016 the European Union implemented the Joint Comprehensive Plan of Action, which scaled back sanctions on Iran and marked the country's return to international capital (and other) markets.
The Turks and Caicos Islands ("TCI") are a British Overseas Territory. The territory's legal system is based on English common law supplemented by local statutes.
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