Posted on June 30, 2011

The Qatar Financial Centre (QFC) Regulatory Authority has released the Captive Insurance Business Rules 2011 and Insurance Mediation Business Rules 2011. The new insurance regulatory frameworks applying to captive insurers, captive managers and insurance intermediaries will commence on 1 July and have been designed to support the development of Qatar as a regional centre for captive insurance.

The new insurance regimes follow the implementation by the Regulatory Authority of a new regulatory regime for asset management in the Qatar Financial Centre, which commenced in January 2011. The implementation of the new insurance rules comes at a time when companies in Qatar and the region, who are involved in major capital projects, are increasing their focus on more effective and efficient risk management strategies and exploring the use of captives as a method of better controlling risks and insurance costs.

The Regulatory Authority Deputy CEO Michael Ryan, commented that: "Captive insurance offers significant risk management opportunities for companies based in Qatar and the region. Our new regime has benefitted from extensive consultation with global captive insurance managers and that consultation process has helped us to ensure that the new framework meets international standards and provides a strong foundation for the successful development of a captive and reinsurance market in Qatar."