Regulatory Blog

The Cayman Islands Insurance Law, 2010 (Law 32 of 2010), enacted by the Legislature of the Cayman Islands, establishes a comprehensive framework for the regulation and oversight of the insurance industry. The law seeks to modernise and refine the governance of insurance operations, ensuring the integrity, financial stability, and professionalism of industry participants. The legislation is structured into five key parts, each addressing crucial aspects of licensing, obligations, regulatory authority, and miscellaneous provisions, providing clarity and consistency in the regulation of both domestic and international insurance-related activities.

The Cayman Islands Companies Act (2025 Revision) offers a comprehensive framework for the regulation, governance, and administration of companies in the Cayman Islands. This updated version consolidates decades of statutory refinement, reflecting amendments, restructurings, and enhancements made up to 1 January 2025. Its provisions are designed to align with global regulatory standards, ensuring that the Act remains relevant to the evolving needs of the corporate landscape.

The Cayman Islands Securities Investment Business Act regulates securities investment business conducted in or from the Cayman Islands. Administered by the Cayman Islands Monetary Authority, the Act aims to ensure that securities-related activities are carried out by fit and proper persons under stringent supervisory standards. It applies to entities incorporated or registered in the Cayman Islands, including foreign entities with a local business presence. The Act also aligns with international regulatory frameworks, such as anti-money laundering and counter-terrorism financing measures.

The Cayman Islands Banks and Trust Companies Act (2025 Revision) serves as a comprehensive legal framework designed to regulate banking and trust activities within the Cayman Islands, ensuring consistency, transparency, and accountability in financial operations. Consolidating legislation dating back to 1989 and integrating subsequent amendments, including those made under the Law Revision Act (2020 Revision), this Act underscores the government’s commitment to maintaining a stable financial environment aligned with international standards. Officially revised and published as of 1 January 2025, it supersedes the 2021 Revision to accommodate recent legislative updates and industry developments.

The Cayman Islands Mutual Funds Act (2025 Revision) serves as a comprehensive legislative framework governing mutual funds and their administration within the Cayman Islands. This revision streamlines the legal requirements, ensuring transparency, compliance, and the efficient regulation of both mutual funds and their administrative bodies. The Act is structured into several distinct parts, each addressing critical aspects of the governance and operation of mutual funds, while granting the Cayman Islands Monetary Authority robust powers to oversee and enforce compliance.

The Cayman Islands Private Funds Act (2025 Revision) serves as a comprehensive legal framework governing the regulation, registration, and supervision of private funds in the Cayman Islands. It establishes clear guidelines to ensure transparency, accountability, and compliance in the operations of these funds, thereby promoting investor protection and maintaining the jurisdiction's reputation as a leading global financial centre.

The Cayman Islands Virtual Asset (Service Providers) Act (2024 Revision) serves as a regulatory foundation for virtual asset services in the Cayman Islands, establishing robust guidelines for the governance and supervision of this dynamic sector. This legislation underscores the jurisdiction’s commitment to fostering innovation while safeguarding the integrity of its financial ecosystem through structured oversight, compliance requirements, and clear operational expectations for virtual asset service providers.

The Cayman Islands Monetary Authority released a desk-based review of the Virtual Asset Service Providers to assess compliance with the Virtual Assets Act and related regulations in November 2025. The review, covering 11 entities, focused on corporate governance, internal controls, cybersecurity, financial stability, and virtual asset custody arrangements.

The Cayman Islands Monetary Authority recently announced the withdrawal of the temporary allowance for operator letters in place of notarised affidavits for fund registration and licensing applications. This measure, introduced during the COVID-19 pandemic, ceased on 15 October 2025.

The Cayman Islands Monetary Authority published a new Application Checklist for individuals and entities applying for licenses under Sections 5(1), 6(1), 6(4), and 6(10) of the Securities Investment Business Act. Applicants must complete the updated form, submit all required supporting documents and pay the prescribed application fee.

The Cayman Islands Monetary Authority has introduced a limited-time Non-Compliant Directors' Amnesty Scheme, running from 16 September to 15 October 2025. This initiative allows eligible registered directors with over two years of unpaid fees (as of 31 August 2025) to settle outstanding annual fees and penalties at a discounted rate.

To ensure compliance and transparency, the Cayman Islands Monetary Authority recently published several updates to its regulatory measures. These updates are critical for licensees, private funds and mutual funds operating within the jurisdiction.