Labuan IBFC and LIIA to host inaugural Asian Captive Conference 2017, aiming to raise awareness of the role of self-insurance in Asia
Kuala Lumpur, 16 May 2017 - Labuan International Business and Financial Centre (Labuan IBFC) and Labuan International Insurance Association (LIIA) are jointly organising The Asian Captive Conference (ACC 2017) in Sasana Kijang, Kuala Lumpur on 16 and 17 August 2017.
Themed 'De-Risking Asia: The Growing Role of Self-Insurance', ACC 2017 is aimed at enhancing the awareness of the role of self-insurance, specifically captives, in Asia. The Governor of Bank Negara Malaysia, Datuk Seri Muhammad Ibrahim is expected to deliver a keynote address during the event.
Other highlights of the event will be the unveiling of the findings of a research conducted by Captive Review entitled "Attitudes towards Captive Insurance in Asia". It is worth noting that while captive insurance has been used as a risk management tool for decades, starting in the 1950s in the United States, this concept of captive insurance is still very nascent in Asia.
Labuan IBFC Inc CEO, Danial Mah Abdullah said: "The Asian market for captive is relatively unexplored and the potential for growth is immense. The penetration level is low at the moment with only 2.3% out of the total numbers of 6,939 captives established worldwide (according to Business Insurance 2016) and we believe the Asian captive market will continue to grow at a steady pace.
"The Asian corporations are viewing captives as a viable alternative of risk management tool and the number who appreciates this concept is growing.
"While many companies will continue to depend on traditional insurance, those with the know-how will explore greater business opportunities and risk management options through captives, especially when commercial premium rates make standard insurance untenable."
He added that the ACC 2017 is timely as it will serve as an educational platform to raise awareness of businesses and corporates to use captive as a risk transfer tool as a complement to the traditional insurance.
"Labuan IBFC, for example, is a substance-enabling jurisdiction that offers captive as a business solution that is complemented by a competitive tax structure. In fact, there are currently about 39 captives in the centre and it is...