Legislation Regulating Insurance Licensing
The carrying on of Malta insurance business is governed by two complementary laws, namely, the Insurance Business Act and the Insurance Intermediaries Act. The possibility of carrying on, in or from Malta business of insurance is dependent on the requisite authorization being obtained from the MFSA which is the competent regulatory and supervisory authority.
Maltese insurance business legislation transposes European Union Insurance Directives which regulate the taking-up and pursuit of direct insurance, reinsurance and the carrying out of insurance intermediaries’ activities. Malta’s E.U. membership enables insurance companies licensed in Malta to benefit from EU passporting rights, that is, by virtue of a simple system of notification of the home country regulator to the host country regulator, a Malta based insurance company may write directly into other EU/EEA markets without the need to apply for other additional licence in the host Member State.
Malta Insurance Lawyers
The firm offers legal advisory services relative to insurers, reinsurers, insurance agents, insurance brokers, insurance managers and tied insurance intermediaries authorised or enrolled under the relevant Maltese law. Legal assistance is given all throughout the requisite insurance licensing process before the MFSA whereby the promoters of the business are vetted in accordance with the ‘fit and proper’ test and the company’s objects and internal processes are scrutinized. Legal services offered include the preparation and submission of the required regulatory documentation such as the scheme of operations, legal guidance as to the regulatory own funds requirements and legal advice as to the structuring of the business, the exercise of EU passporting rights and the redomiciliation of insurance companies amongst others.
Chetcuti Cauchi Advocates also offers legal advisory services in the field of insurance licensing and provides assistance relative to the set-up of or conversion into Protected Cell Companies (PCCs) or Incorporated Cell Companies (ICCs) which are flexible legal structures peculiar to the Maltese legal regime.
