It is difficult to give an exact estimate of the number of captive insurance companies [4] in the world. Because of tax advantages, little information circulates about these particular insurers.
This discretion is due to the fact that these structures are often suspected of being tax-optimizing tools.
Evolution of the number of captive insurance companies: 2012-2021
| Years | Number |
|---|---|
| 2021 | 5 985 |
| 2020 | 5 879 |
| 2019 | 6 286 |
| 2018 | 6 359 |
| 2017 | 6 454 |
| 2016 | 6 700 |
| 2015 | 6 851 |
| 2014 | 6 739 |
| 2013 | 6 420 |
| 2012 | 6 125 |
Source: Business Insurance Survey,
Business Insurance, March 2022
Captives are therefore domiciled in countries offering very favorable tax treatment.
The tax advantages are sometimes increased when these insurance companies achieve differentials between the premiums paid and received by group companies, depending on the geographical locations, and consequently on the tax rates.
Breakdown of captive insurance companies per region
| Region/Country | Number of captives in 2019 |
|---|---|
| Middle East and Africa | 30 |
| Asia Pacific | 184 |
| Europe | 783 |
| Bermuda and the Caribbean | 2 025 |
| United States | 3 264 |
Source : Captive Review 2020
Read also | Captive insurance companies: advantages and key benefits [5]
The top 20 captive markets in 2021
| Rank | Domiciliation | Host country | Number of captives | |
|---|---|---|---|---|
| 2020 | 2021 | |||
| 1 | Bermuda | British Territories | 680 | 670 |
| 2 | Cayman Islands | British Territories | 652 | 661 |
| 3 | Vermont | United States | 589 | 620 |
| 4 | Utah | United States | 396 | 384 |
| 5 | Delaware | United States | 288 | 313 |
| 6 | North Carolina | United States | 250 | 257 |
| 7 | Barbados | Barbados | 226 | 253 |
| 8 | Hawaii | United States | 242 | 251 |
| 9 | Luxembourg | Luxembourg | 199 | 192 |
| 10 | Guernsey | British Territories | 188 | 192 |
| 11 | South Carolina | United States | 175 | 183 |
| 12 | Nevada | United States | 166 | 161 |
| 13 | Tennessee | United States | 145 | 153 |
| 14 | Arizona | United States | 131 | 149 |
| 15 | Nevis | Saint-Kitts and Nevis | 116 | 122 |
| 16 | District of Columbia | United States | 106 | 112 |
| 17 | Montana | United States | 115 | 102 |
| 18 | Isle of Man | British Territories | 102 | 99 |
| 19 | Singapore | Singapore | 80 | 84 |
| 20 | Anguilla | British Territories | 94 | 77 |
| Total top 20 | 4 940 | 5 035 | ||
| Total captives | 5 879 | 5 985 | ||
Source: Business Insurance, March 2022
Read also | The captive, an alternative solution to traditional insurance [6]