Regulatory Alerts2018-12-19
Added · Updated
MAS Notice 121 Captive Insurance - Writing of In-House and Non In-House Risks
This notice defines in-house and non-in-house risks for captive insurers and establishes that all risks other than in-house risks are treated as non-in-house. A captive insurer must obtain prior approval from the Authority to write non-in-house risks, unless specific conditions are met: the parent corporation holds at least 20% shareholding or full risk management control, cumulative gross premiums from non-in-house risks do not exceed 20% of the preceding year's total, and a letter of awareness is obtained from the insured. Captive insurers are required to submit a statement of gross premiums on all non-in-house risks within three months after each financial year end. The notice replaces the previous version and comes into effect on 1 January 2019.