The Insurance Managers Association of Cayman (IMAC) and Cayman Finance have jointly released the results of an independent economic impact study assessing the contributions of Cayman's international insurance and reinsurance sectors to the local economy.
Conducted by FTS, with contributions from the Cayman International Reinsurance Companies Association (CIRCA), the analysis details the sectors' direct and indirect influence on employment, governmental revenue, business development, and tourism.
The report places the total annual economic contribution of Cayman's international insurance sector at CI$233 million. Out of this total, more than CI$136 million flows directly to local businesses, including those offering legal, accounting, and compliance services. Government revenues also benefit from the sector, receiving CI$18 million annually through fees.
The study reports annual business traveler stays related to insurance and reinsurance exceeding 40,000 days, demonstrating a clear connection between the sectors and the islands' tourism industry. Additionally, industry charitable contributions amount to CI$387,000 annually to local organizations and causes.
Employment statistics included in the findings identify 256 direct jobs supported by the industry. Of these positions, nearly half are filled by Caymanians, while more than 72% are occupied by either Caymanians or permanent residents.
IMAC chair Kieran Mehigan (pictured above) commented that the study underscores the critical role international insurance and reinsurance sectors play within Cayman's financial services and the wider economy.
Like Cayman, Bermuda’s insurance and reinsurance sectors have also benefitted from growth trends in recent years.
In 2023, the Association of Bermuda Insurers and Reinsurers (ABIR) reported a record contribution exceeding US$1 billion to Bermuda's economy, marking the highest annual impact in the organization's 31-year history.
The same year also saw ABIR member companies employing 2,140 full-time staff in Bermuda, with approximately 70% (1,441 individuals) being Bermudians, spouses of Bermudians, or permanent resident certificate holders.
In 2024, the international business sector, encompassing insurance and reinsurance activities, recorded a 5.0% increase in employment, adding 233 jobs and totaling 4,927 positions.
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