The Cayman International Reinsurance Companies Association (CIRCA) has formally rejected regulatory criticism levelled at the Cayman Islands by Apollo Global Management, the Cayman Compass reported. CIRCA chair Faramarz Romer issued a rebuttal after Apollo published a video on July 6. In it, John Golden, global head of financial regulation at Apollo and its insurance subsidiary Athene, contended that the jurisdiction's supervisory framework exposed US policyholders to risk.
Apollo posted the video on its website and LinkedIn account, according to the report. In it, Golden characterised the Cayman Islands Monetary Authority's approach as "choose your own adventure", a reference to its principles-based supervisory model. That model gives reinsurers more structural flexibility than the rule-based frameworks used by US, EU, and Bermudian regulators.
"You have a company that says, 'I want to change this regulation', or 'I don't want to do that regulation', or 'maybe I need to hold lower capital for this deal'. All of that is potentially on the table – all of that leads to a weaker regulatory environment in the aggregate," Golden said, as reported by the Cayman Compass.
Golden alleged that the framework created risks that could flow back into the US insurance system. He argued that if a Cayman-domiciled reinsurer became insolvent, US cedents could be left holding unrecovered liabilities. That scenario, he said, could set off a chain reaction pushing claims onto state guarantee funds.
The Cayman Compass reported that the video drew pushback from executives within Cayman's reinsurance community. The publication also noted that Apollo uses a Cayman entity in its own corporate structure and that Athene holds Cayman-based funds.
Romer rejected Golden's characterisation of Cayman's regulatory standards. "The Cayman Islands maintains a risk-based insurance supervisory framework founded on internationally recognised standards and supported by a comprehensive legislative and regulatory regime. Transparency is provided to the parties best positioned to act on it: regulators, cedants, rating agencies, and boards," he said.
Romer cited active US state approvals as evidence that the framework meets American regulatory expectations. "US state regulators are regularly approving reinsurance transactions involving the Cayman Islands, and each time they sign off on an examination, it is affirmation that the structure has been vetted to their satisfaction," he said, according to the Compass.
On the question of dual oversight, Romer said CIMA holds more than 70 bilateral cooperation arrangements. One covers the National Association of Insurance Commissioners (NAIC). He said CIMA requires sign-off from the relevant US state authority before clearing any transaction involving an American cedent.
On policyholder protection, Romer said assets covering US obligations are held in ring-fenced accounts on American soil. Those funds remain accessible for claims settlement regardless of what happens at the reinsurer level.
Cayman is also pursuing NAIC qualified jurisdiction status, a designation held by only seven jurisdictions globally. The list has not changed since 2015. Premier André Ebanks announced at the ReConnect conference in April 2026 that Cayman would file the application this year, according to the Compass.
The qualification would allow Cayman-based reinsurers to post reduced collateral when transacting with US cedents. How US regulators assess Cayman's supervisory framework in that review may now be shaped in part by the Apollo exchange.
