Innovation ahead

What opportunities do you see for Comerica in the industry for the next six to 12 months?

With the resumption of in-person travel, conferences and meetings, I would expect to see more opportunities to provide our award-winning banking services to captives.

What regulatory changes would you like to see in your domicile?

The Cayman Islands Monetary Authority (CIMA) has done a good job regulating captives. I would like to see them continue their “business-friendly” approach and work with the private sector to grow the industry.

Is there still growth potential in the captive sector?

Yes—although most large companies either have a captive or have researched it, many more mid-sized and smaller companies are able to participate through group captives. Also, newer lines such as cyber and employee benefits are being added to grow existing captives.

Do you think the hard market will continue and, if so, why?

Recent events such as the hurricanes in the US have contributed to the hard market. With higher premiums, companies look to alternatives such as captives.

During hard markets, new insurance companies are formed because of the potential for high returns which eventually leads to overcapacity and then lower premiums, hence it is called an insurance cycle.

What changes would you like to see in the captive sector?

I would like to see continued innovation. A good example of innovation is Cayman’s segregated portfolio company legislation which allows companies to participate in a group captive, but not risk their assets to claims and liabilities of other members in the captive.

What do you see as the main challenges for your domicile in the year ahead?

CIMA needs to continue to work closely with the industry service providers to ensure that all Cayman-licensed entities remain in compliance with all EU and Financial Action Task Force global standards.

As an award-winner, what would you say are the secrets to your success in your sector?

We are a full service provider of the special banking and collateral needs of captives. Our captive banking specialists are very experienced and stay up to date on the latest developments and regulations. This knowledge and experience make the account-opening and ongoing relationship management processes more efficient.

We are constantly looking for ways to improve our service and make it easier for the customer.

What advice would you give to the next generation of talent in your sector?

Gain as much knowledge as you can about the captive insurance industry. Attend industry conferences, pursue an International Center for Captive Insurance Education Associate in Captive Insurance designation and network with others.

The more knowledge you have about the industry, the more you are able to provide the best possible service to captive clients.