Insurance broker and risk adviser Marsh has been awarded the first licence to provide captive insurance management in Dubai.

Operating as Marsh Management Services (Dubai) Limited, the company has been authorised by the Dubai Financial Services Authority (DFSA) and will offer captive insurance management services from within the Dubai International Financial Centre (DIFC).

It is the first company to be registered as an insurance manager by the Dubai Financial Services Authority (DFSA).

“The establishment of Marsh’s office is testimony to DIFC’s potential to be a hub for captive insurance both regionally and globally,” DIFC Authority managing director Abdulla Al Awar said.

“DIFC is keen to provide the infrastructure, regulatory environment and support necessary for leading global insurance companies like Marsh to offer innovative solutions for their clients in the region.

“As DIFC seeks to develop further as a global financial centre, captive insurance is one of the key sectors that we are looking to develop. With the rapid development of the economy and the financial industry, the growth potential for captive insurance in the region is very promising.”

Marsh Management Services (Dubai) Limited head of office Ronny Vellekoop said: “High levels of economic growth in the Gulf region are not only providing many opportunities for companies based here but also increasing the number of corporate risks they face.

“As risk management becomes more sophisticated, local companies want more options when making decisions about financing that risk. While captive insurance is so-far little used in the region, the history of innovation in the Dubai market suggests that its use will quickly increase.” – Trade Arabia News Service