Luxembourg: Offshore Business Sectors
See Offshore Business Review – Insurance for a more general treatment of captive insurance companies.
Insurance business is regulated by the Commissariat aux Assurances under the Insurance Supervisory Law 1991. Captives do not receive special regulatory or fiscal treatment in Luxembourg. Insurance companies registered in Luxembourg pay an annual fee of up to EUR15,000 at the time of writing (depending on premium volume); companies domiciled elsewhere pay an annual fee of EUR3,000.
There are about 330 insurance companies registered in Luxembourg according to the latest statistics from the Commissariat aux Assurances.
There is also an active captive insurance industry in Luxembourg, although with an estimated 260 captives in 2011 the sector is nowhere near on the scale of, say, Bermuda and the Cayman Islands.