Insurance Hub: The Evolution of the Insurance Sector Goes From Here

“The ongoing evolution in the financial world, characterized by digitalization and flexibility on one side and increasingly stringent regulations on the other, is also affecting the insurance sector. Today, in fact, insurers and particularly private insurers are called upon to meet the complex facets of planning, asset protection, and succession needs. The drivers of these changes are primarily the demand for customized and flexible solutions, capable of managing potential uncertainties. Technological innovation is also a crucial element, as it enhances the efficiency of private insurance tools and allows constant support for the customer. “”Octium Group has always been aware of these needs and is committed to finding innovative and flexible solutions that can reconcile them in the best interest of the clientele,“” says Francesco Camerlingo, Head of Sales & Business Development at Octium Group, a leading player in private insurance services with over twenty years of experience in the financial sector.



Today, the group manages assets totaling over 8.5 billion euros and relies on the experience of over 80 professionals in five European locations (Dublin, Vaduz, Luxembourg, Zurich, and Milan). They are supported by an internal distribution network, Octium International Insurance Agent AG, which brings together a network of professionals capable of operating in an increasingly regulated and competitive environment to assist families with substantial wealth.



To meet new needs of its clients, Octium provides them with two “”insurance hubs,“” one in Ireland (Octium Life DAC) and the other in Liechtenstein (Octium Assurance AG, with branches in Italy). The two hubs are centers of high professionalism in private insurance, aiming to offer a unique service for a high-standing clientele. These hubs benefit from a favorable economic-legal environment which helps them to develop a dynamic and effective private insurance offering.



Examples? From a tax perspective, Liechtenstein has a VAT rate on wealth management costs and custody fees of 7.7%, which drops to 0% in Ireland. Moreover, from a regulatory standpoint, there are only minor restrictions imposed by Irish supervisory authorities or the Principality regarding the underlying investments in private insurance instruments or the choice of the depositary bank.



Octium Group’s choice was not random: the aforementioned hubs, in fact, are among the most prominent in the private insurance landscape and this allows the group to offer its solutions to worldwide clients.



The Principality of Liechtenstein, in fact, presents particular characteristics that meet the security needs of ultra-wealthy clients. Firstly, the country is characterized by strong political and economic stability, leading Standard & Poor’s to assign Liechtenstein a AAA rating. Secondly, the Principality is a member of the European Economic Area and has adopted all major European directives regarding the insurance industry, introducing national laws fully compatible with EU law. Consequently, insurance companies like Octium Assurance AG have free access to the European Union insurance market.




Ireland also has both a consolidated jurisdiction and one of the safest regulations regarding insurance in the Union, representing its largest insurance hub. For example, the country autonomously adopted the strictest version of the EU liquidation directive: in the event of an insurance company’s liquidation, claims and demands of policyholders take absolute priority over any other credit owed to the company. Additionally, Octium Life DAC complies with reporting obligations to Irish supervisory authorities and fully adapts to the Solvency II directive requirements.



“”The current composition of the Octium Group represents an ideal setup – an Irish company, a Liechtenstein company, and a branch in Italy – to serve our clientele in the best way possible, having access to all the most advanced tools and features made available by the various jurisdictions in which it operates,”” concludes Francesco Camerlingo.”