Cook Islands Launches Captive Insurer to Boost Risk Resilience and Retention

The Cook Islands Government and the Cook Islands Investment Corporation (CIIC) have launched the Cook Islands Captive Insurance Company (CICIC), a fully licensed insurer aimed at enhancing the country's financial resilience and reducing reliance on foreign markets. CICIC is wholly owned by CIIC and will offer custom insurance solutions to government and community assets, supported by access to global reinsurance markets.

"This is about protecting our people, our infrastructure, and our future," said Hon. Albert Nicholas, deputy prime minister and minister for CIIC. "CICIC allows us to come together, leverage our collective strength, and secure better coverage and pricing for our assets."

The initiative is intended to localize insurance value, manage risk more effectively, and build long-term financial independence. Initial members will include entities within the CIIC Group, such as the Cook Islands Government Property Corporation, Airport Authority, Avaroa Cable, Bank of the Cook Islands, Ports Authority, Te Aponga Uira, To Tatou Vai, and Te Mana Uira o Araura.

The captive will begin issuing policies on October 1, 2025, with reinsurance arranged through global markets to ensure claim support. Over time, CICIC plans to build its reserves to directly underwrite risks, retaining more value within the Cook Islands economy.

CICIC is designed to mitigate market volatility, cover unique or excluded risks, and secure lower costs through access to wholesale reinsurance while also strengthening financial sovereignty.

"This is an historic milestone," said Fletcher Melvin, CIIC chair. "We are showing that the Cook Islands has the capability, expertise, and foresight to establish innovative financial solutions."

The establishment directors of CICIC are Mr. Melvin, Olivia Heather, and Halatoa Fua.

The government partnered with global insurance broker Willis to help launch the captive and provide reinsurance brokerage. "CICIC ensures the Cook Islands will have sustainable access to international insurance markets, backed by sound governance, actuarial expertise, and reinsurance capacity," said Willis spokesperson Rachael Pettigrew.

Allan Jensen, CIIC chief executive, said the captive was created with long-term resilience in mind. "This captive will allow us to manage risk smarter, support our members more effectively, and ensure claims can be met reliably."