PwC says asset-intensive reinsurance is taking a larger role in shaping the Cayman Islands as a hub for capital-efficient, asset-driven reinsurance structures.
The firm points to a mix of regulatory stability, capital markets depth and a willingness to back innovation. Together, those factors have helped the Cayman Islands strengthen its place as an active reinsurance centre.
Earlier this year, Cayman Finance, which represents the jurisdiction’s financial services industry, reported continued expansion in the local reinsurance market after the release of the Cayman Islands Monetary Authority’s 2025 insurance statistics.
Using CIMA data, Cayman Finance said the number of licensed reinsurance companies rose from 58 at the end of 2020 to 113 at the end of 2025. That works out to growth of about 95%.
Premium volume moved sharply higher over the same period.
Total premiums written increased from $9.3 bn to $30.2 bn. Total reinsurance assets reached $101 bn at year-end 2025, up from $23 bn in 2020, a rise of 341%.
Against that backdrop, PwC argues asset-intensive reinsurance is likely to take a bigger role as insurers and reinsurers shift toward models built around capital efficiency and asset origination in a market getting more competitive and more complicated.
The firm said success in AIR will depend on how well companies build capabilities across origination, structuring, pricing, and integrated asset-liability and capital management.
PwC also pointed to AI and automation as tools firms are using to improve returns, manage risk and deploy capital with more precision.
Ric Agrella, partner and insurance leader at PwC Cayman, said the Cayman Islands has developed into an adaptive and forward-looking global reinsurance centre. He said the near doubling in reinsurance entities over five years shows a market still pushing ahead, with stronger emphasis on innovation and AI.
Agrella added that PwC is focused on how AI-driven models and automation can unlock efficiencies, improve risk transfer, sharpen actuarial work and support sustainability efforts across the sector.
