Overview

Most large corporate groups include a captive insurer but almost one-fifth of those ‘captives’ are dormant. Solvency II, the European Union's "Directive on the taking up and pursuit of the business of insurance and reinsurance", will apply directly to most captive insurers domiciled in the European Economic Area. It will also have a material impact on many captives domiciled in other parts of the world.

Some of the changes have been well publicised. It is clear, for example, that captive insurers can expect a substantial increase in their capital requirements. However, some issues have attracted much less attention.

Wragge & Co looks at some of the options to consider in preparing for the new regime.

To read more please click ‘view briefing’.