Mauritius : External Insurance Business

"External Insurance Business", subject to such other restrictions as may be prescribed, means insurance business which is restricted under section 11 of the Insurance Act 2005 to only non-Mauritian policies, and includes captive insurance business.

Licence for External Insurance Business

An application for a licence for External Insurance Business shall be made to the Financial Services Commission (FSC). The FSC will, if it is satisfied that an application under section 10 of the Insurance Act 2005 ought to be granted, grant the application and on payment of the prescribed fee, issue a licence authorising the applicant to carry on such category of insurance business in respect of such class of insurance policies as may be specified in the licence.

Stated capital and deposit

1. An insurer shall in respect of its insurance business at all times –
   
   (a) have and maintain such stated capital as may be prescribed; and
   (b) make and maintain a deposit in such amount, and with such custodian as may be prescribed.
2. An insurer shall make good forthwith any part –
   
   (a) of the stated capital that is impaired by losses or otherwise;
   (b) of the deposit which on any balance sheet date is valued as less than the prescribed amount.
3. A deposit shall be part of the assets of the insurer but shall not –
   
   (a) be capable of being transferred, assigned, or encumbered with a mortgage or other charge, by the insurer;
   (b) be available for the discharge of a liability of the insurer, other than a liability in respect of a Mauritian policy; or
   (c) be liable to attachment in execution of a judgment, except a judgment obtained by a policyholder of the insurer in respect of a debt due upon a Mauritian policy and which debt the policyholder has been unable to recover in any other way.
4. Notwithstanding any provision of the Companies Act, an insurer may with the approval of the FSC maintain the minimum capital requirement in a currency other than the Mauritian rupee.

Information/Documents to be submitted by the applicant with respect to an application for External Insurance Business:

1. Duly dated and signed Application Form for External Insurance Business along with authorisation to any regulatory body, law enforcement body or financial institution, in Mauritius or in a foreign country to release to the Financial Services Commission (FSC) any information about the applicant, and any of its promoters, officers or controllers, (whose written consent should be enclosed), for use in relation to an application with the FSC and for the enforcement of the applicable laws
2. Prescribed Processing Fee (USD 1,000) and/or Annual Fee (USD 1,500).
3. Details of any other licence(s)/registration(s) which the Applicant holds and name of the licence(s) and issuing authority, and any restriction(s) imposed.
4. Business Plan including: (i) – Introduction and Background; (ii) – Business objective, strategy and proposed activity; (iii) – Organisation Chart; (iv) – Target market(s) and client(s) profile; (v) – Mode(s) of financing; (vi) – Three year Financial Forecasts (Balance Sheet, Profit and Loss Account, and Cash Flow Statement); and (vii) – Any other relevant information.
5. An Applicant's business plan or feasibility study must be conducted or certified by an actuary to be in accordance with Section 10 of the Insurance Act 2005.
6. Details of the arrangements to be put in place with respect to the day-to-day administration and management.
7. CV of senior officers, and Personal Questionnaire Form(s) for Directors, Managing Director/CEO, Compliance Officer, MLRO and Deputy MLRO (as applicable).
8. Confirmation that the Applicant shall implement a manual of internal control and compliance procedures, once it is licensed/authorised.
9. Certified true copy of the Certificate of Registration/Incorporation, Constitution/M&A (if any), Trust Deed, and/or other statutory documents submitted/required for the registration/incorporation of the Applicant.
10. Latest Annual Return and Audited Financial Statements, as available.
11. If Applicant’s Secretary is a firm or corporation, necessary approval from the Registrar of Companies to be submitted.
12. Financial/Capital Requirement under relevant regulations and rules
13. Confirmation from a qualified legal practitioner under the laws of Mauritius that the constitutive documents and supplemental information submitted in connection with the application are in accordance with Mauritian laws.
14. Copy of material contract(s)/agreement(s) to be entered between the Applicant and other party/functionary.
15. In case of registration and continuation of an Applicant/Company incorporated outside Mauritius or a foreign company, additional documents as may be required under the Companies Act 2001 to be submitted.
16. Submission of proposed reinsurance arrangements.
17. Details of measures to be put in place with regards to infrastructure, security and safety of securities/assets.
18. Details of arrangements to ensure confidentiality, security and reliability of client(s) information.
19. Copy of any promotional material(s) to be used in connection with the proposed business of the Applicant.
20. Applicant to confirm that it will keep an effective complaints handling process in the course of conduct of its business.