This month A&A Multiprime managed to successfully register the WEST OF ENGLAND P&I for the first time ever at the Colombian Registry of Foreign Marine Insurers (RAIMAT).
This registration allows foreign underwriters, to provide coverage without the need of local fronting. The local fronting requirement increases costs and complicates matters when covering a vessel in Colombia, and therefore, registered underwriters become more competitive in the local market. Basically the advantage for Colombian customers the moment a foreign insurance is registered, is that they will not have to pay local VAT which is 19% of the annual premium amount (since it is no longer necessary to issue a local policy). Furthermore, the commission for the local fronting insurer is no longer necessary.
Dealing effectively with authorities is one of the most important skills a Correspondent must have, so we are pleased to deliver these good news today to WEST OF ENGLAND P&I