MAS Notice 121, Captive Insurance - Writing of In-house and Non In-house Risks, was issued and took effect on 8 May 2012 and applies to all licensed captive insurers.

Core content:

1. It governs the scope of business in which captives may underwrite in-house risks, that is, the risks of the parent company and group-related entities.

2. It sets out the conditions and limits for captives underwriting non in-house risks, preventing captives from evolving into insurers serving the general public.

3. A captive must obtain MAS approval in advance to underwrite business beyond the permitted scope.

Together with the Insurance Act and the 2018 Regulations, the Notice forms the core framework governing the business boundaries of Singapore captives.

Notice text: MAS Notice 121