A Labuan reinsurance business is defined as an insurance business whereby the reinsurer assumes a part of the liability under an original contract of insurance of another insurer or reinsurer. A Labuan reinsurer may be conducting either a general or life reinsurance business.

Licensing and Operational Requirements for A Labuan Re-Insurance License

  1. Applicant must maintain a minimum paid-up capital or working funds with a bank in Labuan amounting to MYR 10 million or its equivalent in any foreign currency.
  2. Applicant must be a member of the Labuan International Insurance Association.
  3. Applicant must provide a letter of guarantee or undertaking from the parent company to Labuan FSA.
  4. An applicant for a licence to carry on a reinsurance business in Labuan must:
    • establish an operational management office in Labuan managed by a management team that has adequate knowledge and expertise in the insurance business, or
    • appoint a licensed Labuan underwriting manager.
  5. The appointment of any person in control, director or principal officer (PO) of a Labuan reinsurer must obtain prior approval from Labuan FSA. Notwithstanding, Labuan reinsurers that are established as a branch are not required to obtain approval on the appointment of their directors.
  6. The person in control, director and PO of a Labuan reinsurer must be fit and proper persons and shall not be subjected to any adverse reports from any reliable sources.

QX TRUST, your one-stop Trust Company in Labuan!

We provide the following service to set up your Labuan Re-insurance license:

  • Profiling and preparation of client's profile for Labuan Re-insurance license
  • Recommending and appointment of the Labuan Insurance Manager / Underwriter
  • Submission to Labuan FSA and supervision of application process until approval
  • Once license is approved, incorporate the Labuan Company or Protected Cell Company
  • Operations Office setup, bank account for the capital injection and staff hiring to meet the license requirements
  • Setup the membership with Labuan International Insurance Association
  • Assist in annual compliance with Labuan FSA and Inland Revenue Board
  • Act as liaison and key contact person for both client and Labuan FSA on all correspondences, meetings and / or interviews (if any)