Insurance, securities fees to increase

Annual licensing fees for insurance companies in the Cayman Islands will increase as of 1 January, 2010.

According to regulations approved by Cabinet, fees for Class A (locally incorporated) licence fees will go from $30,000 to $50,000 per year. Class A licence fees for approved external insurers will go from $40,000 a year to $50,000 a year.

Class B unrestricted and Class B restricted insurance licences will each increase $1,000 per year under the new regulations.

Also, any licence holder in a segregated portfolio insurance company defined by the Companies Law will have to pay added licence fees of $250 for each segregated portfolio.

Legislators are also considering changes to the Securities Investment Business Law that would increase securities licence fees from the current $1,000 to $3,500. Those increases would have to be approved by the Legislative Assembly.

The insurance licence fee increases do not require a public vote and will simply take effect on the prescribed date.