The Insurance Act 2008 provides for the regulation of the insurance business in Seychelles.
The regulatory body which is responsible for granting license and compliance with the Act is the Securities and Financial Markets Division of the Central Bank, referred to as the “Authority”.
KEY FEATURES
CLASSES OF INSURANCE BUSINESS
[*]General Insurance Business
[*]Reinsurance Business
[*]Captive Insurance Business
THE SHARE CAPITAL REQUIREMENTS
The paid-up capital of a non-domestic insurer shall be paid in US$ or in a currency that is fully convertible to other internationally accepted currency and the minimum amount shall be as follows:
[TABLE=width: 654]
[TR]
[TD]General Insurance Business or Long Term Insurance business or both
[/TD]
[TD]US$100,000
[/TD]
[/TR]
[TR]
[TD]Reinsurance Business
[/TD]
[TD]US$50,000
[/TD]
[/TR]
[TR]
[TD]Captive Insurance Business
[/TD]
[TD]US$25,000
[/TD]
[/TR]
[/TABLE]
The paid-up share capital of US $ 100,000, US $ 50,000 and US $ 25,000 must be maintained in an account of the applicant with a bank licensed under the Financial Institutions Act of Seychelles to carry on banking business, as evidenced by a certificate of such bank, at the time when the application is made and at such other time as may then be required by the Authority.
MARGIN OF SOLVENCY
Application fees to be paid by an Applicant to the Authority
[TABLE=width: 678]
[TR]
[TD]Non domestic insurer carrying on general insurance business/Insurance Manager/ Principal insurance representative
[/TD]
[TD]US $ 1,000
[/TD]
[/TR]
[TR]
[TD]an insurance broker
[/TD]
[TD]SR 2,500
[/TD]
[/TR]
[TR]
[TD]an insurance agent
[/TD]
[TD]SR 2,000
[/TD]
[/TR]
[TR]
[TD]an insurance sub-agent
[/TD]
[TD]SR 500
[/TD]
[/TR]
[/TABLE]
Annual license fees
[TABLE=width: 678]
[TR]
[TD]Non-domestic insurer carrying on general or long term insurance business or long term
[/TD]
[TD]US $ 1,500
[/TD]
[/TR]
[TR]
[TD]Non domestic insurer solely carrying on captive insurance business
[/TD]
[TD]US $ 1,000
[/TD]
[/TR]
[TR]
[TD]A reinsurer
[/TD]
[TD]SR 100,000
[/TD]
[/TR]
[TR]
[TD]Insurance manager
[/TD]
[TD]US $ 2,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 1 licensed insurer
[/TD]
[TD]US $ 1,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 3 licensed insurers
[/TD]
[TD]US $ 2,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 5 licensed insurers
[/TD]
[TD]US $ 3,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 10 licensed insurers
[/TD]
[TD]US $ 5,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for more than 10 licensed insurers
[/TD]
[TD]US $ 7,000
[/TD]
[/TR]
[TR]
[TD]an insurance broker
[/TD]
[TD]SR 10,000
[/TD]
[/TR]
[TR]
[TD]an insurance agent
[/TD]
[TD]SR 5,000
[/TD]
[/TR]
[TR]
[TD]an insurance sub-agent
[/TD]
[TD]SR 2,500
[/TD]
[/TR]
[/TABLE]
LICENSING REQUIREMENTS AND PROCEDURES
Documents to be submitted
An Applicant for a non-domestic insurance licence shall furnish the Authority with the following:
[*]The prescribed fee
Factors considered by the Authority to issue a license
FOR FURTHER ENQUIRIES PLEASE CONTACT US Select a department - Offshore Company Formation - :check:
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The regulatory body which is responsible for granting license and compliance with the Act is the Securities and Financial Markets Division of the Central Bank, referred to as the “Authority”.
KEY FEATURES
- Authorized to carry on insurance business in or from Seychelles, or in or from a country outside Seychelles;
- Exemption from the Business Tax Act and the Goods and Services Tax Act;
- Exemption from paying gainful occupation permit;
- Concessions on employment of expatriate workers, trades tax, stamp duty, and social security contribution;
- Speedy and effective approval process;
- Confidentiality guaranteed by law
CLASSES OF INSURANCE BUSINESS
- Long Term Insurance Business:
Life Business Insurance;
- Pension Business;
- Permanent Health Insurance Business;
- Linked Long Term Insurance Business
[*]General Insurance Business
[*]Reinsurance Business
[*]Captive Insurance Business
THE SHARE CAPITAL REQUIREMENTS
The paid-up capital of a non-domestic insurer shall be paid in US$ or in a currency that is fully convertible to other internationally accepted currency and the minimum amount shall be as follows:
[TABLE=width: 654]
[TR]
[TD]General Insurance Business or Long Term Insurance business or both
[/TD]
[TD]US$100,000
[/TD]
[/TR]
[TR]
[TD]Reinsurance Business
[/TD]
[TD]US$50,000
[/TD]
[/TR]
[TR]
[TD]Captive Insurance Business
[/TD]
[TD]US$25,000
[/TD]
[/TR]
[/TABLE]
The paid-up share capital of US $ 100,000, US $ 50,000 and US $ 25,000 must be maintained in an account of the applicant with a bank licensed under the Financial Institutions Act of Seychelles to carry on banking business, as evidenced by a certificate of such bank, at the time when the application is made and at such other time as may then be required by the Authority.
MARGIN OF SOLVENCY
| Type of insurance Business | 1st year | From 2nd year |
| General Insurance Business or Long Term Insurance business or both | US$125,000 | US$125,000 where the net premium income in the preceding financial year did not exceed US$750,000 |
| 1/5 of the net premium income for income between US$750,000 and US$5,000,000 | ||
| US$1,000,000 + 10% of the amount by which the net premium income in that financial year exceeds US$5,000,000 , for income > US5,000,000 | ||
| Reinsurance Business | US$50,000 or 20% of net premium income for the preceding year, whichever is the highest | Same as for 1st year |
| Captive Insurance Business | US$25,000 | Same as for 1st year |
Application fees to be paid by an Applicant to the Authority
[TABLE=width: 678]
[TR]
[TD]Non domestic insurer carrying on general insurance business/Insurance Manager/ Principal insurance representative
[/TD]
[TD]US $ 1,000
[/TD]
[/TR]
[TR]
[TD]an insurance broker
[/TD]
[TD]SR 2,500
[/TD]
[/TR]
[TR]
[TD]an insurance agent
[/TD]
[TD]SR 2,000
[/TD]
[/TR]
[TR]
[TD]an insurance sub-agent
[/TD]
[TD]SR 500
[/TD]
[/TR]
[/TABLE]
Annual license fees
[TABLE=width: 678]
[TR]
[TD]Non-domestic insurer carrying on general or long term insurance business or long term
[/TD]
[TD]US $ 1,500
[/TD]
[/TR]
[TR]
[TD]Non domestic insurer solely carrying on captive insurance business
[/TD]
[TD]US $ 1,000
[/TD]
[/TR]
[TR]
[TD]A reinsurer
[/TD]
[TD]SR 100,000
[/TD]
[/TR]
[TR]
[TD]Insurance manager
[/TD]
[TD]US $ 2,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 1 licensed insurer
[/TD]
[TD]US $ 1,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 3 licensed insurers
[/TD]
[TD]US $ 2,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 5 licensed insurers
[/TD]
[TD]US $ 3,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for not more than 10 licensed insurers
[/TD]
[TD]US $ 5,000
[/TD]
[/TR]
[TR]
[TD]Principal insurance representative acting for more than 10 licensed insurers
[/TD]
[TD]US $ 7,000
[/TD]
[/TR]
[TR]
[TD]an insurance broker
[/TD]
[TD]SR 10,000
[/TD]
[/TR]
[TR]
[TD]an insurance agent
[/TD]
[TD]SR 5,000
[/TD]
[/TR]
[TR]
[TD]an insurance sub-agent
[/TD]
[TD]SR 2,500
[/TD]
[/TR]
[/TABLE]
LICENSING REQUIREMENTS AND PROCEDURES
Documents to be submitted
An Applicant for a non-domestic insurance licence shall furnish the Authority with the following:
- A statement of the Applicant's proposed insurance business , including details of the class or classes of non-domestic insurance business which the applicant is seeking to carry on;
- A business plan or feasibility study
- A copy of-
- the applicant's the applicant's certificate of incorporation or registration , memorandum and articles, duly authenticated by the registrar of companies in the place of establishment or origin of the applicant;
- the resolution of the Board of Directors of the applicant, duly authenticated by a Director or the principal officer of the applicant authorising the application for a licence, as an insurer to carry out non-domestic insurance business under the Act;
- such other information and documents as may be specified in regulations and required by the Authority.
- three references, one of which shall be financial in nature from a reputable international financial institution in respect of all the persons who are directors, managers or senior officers of the applicant.
[*]The prescribed fee
Factors considered by the Authority to issue a license
- The Applicant's objects must be limited to insurance business;
- The Applicant must disclose information and details required by the Authority;
- The Applicant's financial resources, organizational and management capabilities;
- The Applicant, substantial shareholders and officers of the proposed insurer are fit and proper persons;
- The Applicant's future compliance with the Insurance Act;
- If the Applicant is a foreign company, experience of at least 3 years in handling the category and class of insurance business in respect of which the application is made.
FOR FURTHER ENQUIRIES PLEASE CONTACT US Select a department - Offshore Company Formation - :check:
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Disclaimer: Nothing I say should be taken as tax, legal or financial advice. Anything I say is for general informational purposes only. Always seek independent professional advice.
Support the Freedom of Speech of our Community
Disclaimer: Nothing I say should be taken as tax, legal or financial advice. Anything I say is for general informational purposes only. Always seek independent professional advice.
