Domestic Insurance Industry Report
Domestic Insurance Industry Report Released Following Cabinet Review the Report Spawns Consultation Process to Determine Changes to Legislation and Business Practices
20 July 2005 - George Town, Grand Cayman - A report detailing the impact of Hurricane Ivan on the domestic insurance industry was released today to the private sector and general public as part of efforts to enhance existing insurance legislation and improve consumer protection measures.
The 36-page report titled, A Review of the Domestic Insurance Industry "Post Ivan", was prepared by Sir Alan Traill, a board member of the Cayman Islands Monetary Authority (CIMA) along with Terence Fairs, Principal, Fairs Reinsurance Consulting with assistance from members of the insurance division of CIMA.
"The completion of this report is an important step in the process of learning from Ivan and making improvements for both the industry and consumers," said Kenneth Jefferson, Financial Secretary. "Government believes that consultation is the next logical step and the broad release of the report will definitely help in that regard. We are grateful for the hard work of Sir Alan and the others who were involved in the report's preparation."
The report covers a full range of subjects including deductibles, loss adjustment, premium affordability and special considerations for residential, business and automobile insurance. It also addresses the business practices of companies providing domestic insurance.
Following its review of the report, Cabinet has advised that CIMA, under Sir Alan Traill's leadership, spearhead a process of consultation with the insurance industry as a means of identifying areas where legislation needs to be amended or introduced. Similarly, the Portfolio of Finance & Economics will accept feedback on the report and its recommendations from the broader business community and individuals to be considered as part of the consultation process.
Written feedback on the report can be sent via e-mail to ted.bravakis@gov.ky or via fax at (345) 949-6374. The report is available electronically on CIMA's Web site at www.cimoney.com.ky or in hard copy format at CIMA's offices in Elizabethan Square. The deadline to provide feedback is 15 August 2005.
The Cayman Islands Government commissioned an initial review of the insurance industry following Ivan in late 2004, which identified the need for a comprehensive report initiated in February 2005 and reviewed by Cabinet at the end of June 2005.
For further information contact: Ted Bravakis