The Protected Cell Companies (PCC) Regulations as addressed by the Companies Act (Cell Companies Carrying on Business of Insurance) Regulations provide for the constitution, or conversion, of insurance companies, insurance brokers and insurance managers licensed by the Malta Financial Services Authority (MFSA) into Cell Companies.  Such Regulations also cater for Captives and Reinsurers

The PCC Regulations allow a cell company to be formed in carrying out business of insurance, reinsurance, captive, insurance brokerage and insurance management. After successfully applying the concept of a PCC back in 2004, Malta’s PCC model allows the promoter to write insurance business through a cell by effectively utilizing the cell company’s core capital.  This would then imply that the promoter need not comply with the “own funds” requirements if the cell company’s core capital is utilized effectively.

Key Features of Malta PCC

Malta PCC

Corporate Details

General

  • Type of entity:

PCC

  • Type of law:

Hybrid

  • Our time to establish a new company:

2 weeks

  • Tax

15%

  • Number of Cells

Unlimited

  • Continuation from IBC

Yes

  • Registered Office

Yes

Share capital or equivalent

  • Standard currency:

EUR

  • Minimum paid up:

50% of the Authorized capital

  • Shares types

Cellular and non-Cellular

Directors

  • Minimum number:

Two

  • Corporate Director

Not Allowed

  • Local required:

No

  • Publicly accessible records:

Yes

  • Location of meetings:

Any where

Company Secretary

  • Required:

Yes (must be a Malta Corporate Service Provider)

Annual Accounts, Audit, Return

  • Requirement to prepare:

Yes

  • Audit requirements:

Yes

  • Permitted Business Activities

1. Insurance

2. Mutual Funds

3. Any other business activity approved by SIBA

Malta PCC Distinctive Benefits

  • PCC as part of business structure is ideal for use in umbrella funds and captive insurance structures, because the losses of one cell will not have an adverse effect on the other cells
  • It can limit the creditor exposure, the cells are independent and the assets of a particular cell can be applied to the liabilities of that particular cell only
  • It is cost effective compared to forming various subsidies for different businesses
  • Being the sole EU member with a separate legislation for Protected Cell Companies (PCCs) and Incorporated Cell Companies (ICCs), passport benefits within the EU/EEA, robust regulatory regime and a favorable tax system favors Malta’s position for the carrying of business insurance, insurance management and brokerage.

The Valsen Advantage

  • Speedy, Efficient and consistent Services.
  • Relentless effort to obtain bank accounts.
  • Expert advice on structuring options.
  • Dedicated ongoing compliance support.