GUERNSEYFINANCE chief executive Peter Niven has moved to set the record straight on the efforts being made to make the island a home for reinsurance business.
He said that a wide variety of activity had been undertaken over the past three years by the regulator and the industry, together with GuernseyFinance, in a bid to attract reinsurers to the island and this was paying dividends.
His comments come after captive insurance expert Callum Beaton told Chamber of Commerce members he backed the general promotional work being carried out by GuernseyFinance for the various sectors of the finance industry, but the reinsurance market needed a more targeted approach.
‘Unfortunately, I wasn’t in Guernsey to hear Callum’s presentation because I was actually promoting the island’s captive insurance and also reinsurance sectors at a specialist trade conference, AIRMIC, taking place in Bournemouth,’ said Mr Niven (pictured).
‘I am very pleased to hear that Callum was endorsing the work of GuernseyFinance in generally promoting the island as a centre of excellence for financial services. However, I am concerned that we were not given the full picture on what has been happening with reinsurance.
‘In particular, there seemed to be no mention of the work that the regulator and the industry have been undertaking, in conjunction with GuernseyFinance, to make the island a home for reinsurance business.
‘It is especially disappointing because it comes at a time when there has been increased work across the board to assist our captive insurance industry and the fledgling reinsurance sector to capitalise on the significant business opportunities for Guernsey within these markets.’
Mr Niven said that the Guernsey Financial Services Commission and the industry had been working together with GuernseyFinance in a coordinated manner over the last few years to attract more reinsurance business.
‘The reinsurance initiative has been headed by GuernseyFinance but it has been very much in conjunction with both industry and the regulator.
‘Everything we have done has been driven by, in consultation with and included these partners.’
Mr Niven said the past three or four years has seen a head of steam building with the initiative.
‘This has included producing a specific brochure to showcase the benefits of locating reinsurance business in Guernsey. We have also been connecting with key decision makers through advertising campaigns, articles and interviews in the trade media.
‘In addition, within the last six months we have held two seminars in London to promote Guernsey as a reinsurance domicile. They have been very successful in attracting key decision makers from the City who have subsequently shown interest in using Guernsey.
He said there had been two important elements in the success of the seminars.
‘Firstly, we have specifically targeted individuals who we know will be deciding or advising on the location for reinsurance business.
‘Secondly, our presentations have been made by the key players from the Guernsey industry, including the senior personnel from both Hiscox and Barbican who have already established reinsurance operations in the island, and with the support of our regulator.
‘I also know that independently the GFSC has worked very hard on the initiative that culminated in the licensing of Lloyds – the world’s leading insurance and reinsurance market – and that a small number of local practitioners interested in this business have been talking directly to reinsurers.’
Mr Niven said GuernseyFinance’s responsibility was to set the scene and provide the right environment. It was then up to individual practitioners to move in off the back of this work to win the business.
‘Yes, we would like to be able to do more but in the context of the resources we are given to promote the whole of the finance industry then I think the reinsurance drive has been well supported by GuernseyFinance and we are very much looking forward to supporting industry and the regulator with this initiative in the future.’
Article posted on 22nd June, 2009 - 2.30pm
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