Captive Insurance Act 2015
The Captive Insurance Act (the ?Act?) was passed on 11 December 2015 by the National Assembly. It establishes the legislative and regulatory framework for the business of Captive Insurance, that is the business of undertaking liability restricted exclusively to the risks of parent and affiliated corporations.
The Financial Services Commission (the ?FSC?) is the regulatory body responsible for the licensing and regulation of all captive insurance business under the Act. The FSC will have also a regulatory oversight on the governance and investment policy of captive insurers to ensure that only genuine captives are set up in Mauritius.
The application for the licensing of a captive insurance business must be made to the FSC by the captive insurance agent. The application shall be accompanied by a business plan of the proposed captive insurance business, the investment policy, certified copy of the incorporation documents of the applicant, among others and the FSC may require any other additional information or document. A prescribed annual fee shall be paid by the captive insurer.
The Act requires that a captive insurer must have, at all times, a captive insurance agent in Mauritius whose appointment will be approved by the FSC. Only an actuary, an insurance manager, a law practitioner, a management company, a public accountant or such other person as may be prescribed shall be able to act as a captive insurance agent.
The Act amends the Income Tax Act to provide for a tax holiday for a period not exceeding 10 years from the commencement of the Act for all captives.
For more information, click here: Captive Insurance Act 2015