London, 12 September, 2006 – Aon has become the first company to form an insurance ICC through its Captive Services Group. White Rock Insurance (Guernsey) ICC Limited will provide medium sized companies with cost efficiencies over a stand-alone captives and offers increased flexibility whilst allowing for faster entry and exit.
White Rock Insurance (Guernsey) ICC is the first insurance ICC to be formed following legislation allowing these vehicles that came into effect in Jersey on 1February 2006 and in Guernsey on 1 May 2006.
The Incorporated Cell Company (ICC) is an innovative structure comprising multiple incorporated and registered cells that are separate legal entities in their own right. This provides considerable scope for creativity in insurance structuring.
Whilst similar in some ways to a Protected Cell Company (PCC) structure, pioneered in Guernsey in 1997 and now widespread worldwide, the ICC structure is fundamentally different allowing:
- Insurance or other contracts to be written between incorporated cells.
- Far simpler conversion of an incorporated cell into a fully fledged captive.
- More flexible underwriting and risk retention.
The registration procedure to create a cell is relatively simple and can be accomplished quickly and more cost effectively than for a captive subsidiary.
Chris Le Conte, MD of Aon’s operations in Guernsey, said: “We are delighted to be leading the way in the captives market once again and expect many clients will benefit from this innovative structure. Our PCC vehicle has provided a fantastic tool for a wide range of clients since its formation and with the new ICC our ability to provide tailored solutions to clients has been further enhanced. Incorporated cells act as a middle ground between the stand alone captive and the protected cell concept and will suit clients seeking to retain or manage risks in an efficient and flexible yet controlled manner. We expect it to be actively writing business within the next quarter.”
Clive James, Group MD with overall responsibility for White Rock said: “Aon’s White Rock group of companies is the leading group of PCC, SAC and now ICC vehicles worldwide with operations in Guernsey, Gibraltar, Luxembourg and Bermuda. Aon was the first company to form a PCC in 1997 and the launch of the first ICC demonstrates how we have continued lead the way in the innovative use of such vehicles ever since.”
About White Rock
White Rock Insurance (Guernsey) ICC Ltd is an Aon-owned company that has been specifically established to assist clients who wish to retain their own risk. White Rock (Guernsey) ICC is licensed by the Guernsey Financial Services Commission to write all classes of General business.
Aon Captive Services Group
Aon Captive Services Group (ACSG), a division of Aon Reinsurance International, provides captive and alternative risk financing solutions. The division has over 500 staff based in numerous countries around the globe. The division is split into two businesses:
- Aon Insurance Managers (AIM) – Captive Management
- IRMG – Risk Management and Risk Finance Consulting
Aon Corporation is a leading provider of risk management services, insurance and reinsurance brokerage, human capital and management consulting, and specialty insurance underwriting. There are 46,000 employees working in Aon’s 500 offices in more than 120 countries. Backed by broad resources, industry knowledge and technical expertise, Aon professionals help a wide range of clients develop effective risk management and workforce productivity solutions.