FinanceMalta exhibiting at European Captive Forum in Luxembourg

FinanceMalta, the public-private partnership set up to promote Malta’s financial services sector, is exhibiting at the European Captive Forum (ECF) in Luxembourg in mid-November. The European Captive Forum is a unique two-day captive insurance event designed by the captive owners group ECIROA in conjunction with Captive Review magazine.

In keeping with its role to promote Malta’s international financial centre, the Malta stand at ECF will target ECIROA’s specialist audience of captive owner-members providing premium networking opportunities across over 700 delegates made up of captive owners, re-insurers, captive managers, brokers, regulators and consultants. It is an excellent opportunity to project Malta’s growing reputation as a quality onshore European financial centre.

“Insurance is one of the pillars of the wider Maltese financial services industry,” according to Malta Financial Services Authority ( MFSA) chairman Joseph Bannister. Total premia written by Malta-based insurance companies passed the €1billion mark in 2009, which has grown substantially since – 22 per cent in 2010 alone. Around 75 per cent of business relates to risks or commitments based outside Malta, mainly written on an EU cross-border basis. This compares well with the domestic market, where Maltese insurance firms registered gross premiums written of €290m, in addition to another €130m (predominantly in general business) which were written through branches or agencies of overseas based companies. Total gross written premiums have increased by 46 per cent from €1,511m in 2010 to €2,208m in 2011. A similar increase of 45 per cent was seen between 2009 and 2010. These increases are mainly due to the long-term reinsurance business written outside Malta.

To further consolidate Malta’s emergence as a primary centre for captives, FinanceMalta is communicating Malta’s value proposition to the international captive community at the European Captive Forum and are encouraging local operators to consider further internationalising their operations by joining them on their stand at the two-day event. Malta is sustaining these levels of performance in the insurance sector through a strong element of know-how, which is present through an established class of underwriters, brokers and insurance managers, backed by a growing number of risk managers, actuaries and support service providers based here. Legal expertise is also highly developed and a driver of innovation in its own right, while accountancy services are widely available and based on IFRS standards.

The MFSA report that new legislation, such as the ICC Regulations that recently came into effect, will continue to place innovative tools at the disposal of operators and open up new opportunities for growth in this specialist sector. Visitors to FinanceMalta’s stand in Luxembourg will hear about business opportunities in Malta, the country’s legal and regulatory framework, and the successful development of its financial services industry based on communications, good governance and an efficient fiscal environment.

Financial services is one of the key pillars of the Maltese economy along with tourism, manufacturing and business services, providing over €1 billion of revenue to the economy. Malta is a financial gateway to Europe and North Africa. Its finance industry offers a number of attractions including a stable economy, liquid markets, skilled workforce, cost-efficient business infrastructure, and advanced IT support. Malta’s gross domestic product in real terms increased 2.4 per cent from 2010, showing that the economy is much healthier than many of its European counterparts. Most of the 700 expected delegates attending the European Captive Forum will be able to learn more about the jurisdiction’s core offering on the Malta stand and will have an opportunity to learn about the Islands’ economy and Mediterranean lifestyle, a key component of the mix that attracts people to relocate to our shores. The participation at the event is being made possible with the support of the Malta Insurance Managers Association.