Trust and Corporate Service Providers

The classes of licence issued under the Nevis Trust and Corporate Service Providers Ordinance, 2021 are:

  • Class I – licence permits the holder to act as a formation agent and provide registered agent and registered office, business address or accommodation, correspondence or administrative address for corporations, limited liability companies and foundations only or to act as or arranging for another person to act as a director, shareholder, secretary or officer of a corporation; a manager, member or officer of a  company; or a member of the supervisory or management board of a multiform foundation.
  • Class II – licence may be restricted or unrestricted. A restricted licence permits the holder to register and provide registered office, business address or accommodation, correspondence or administrative address for trusts only. An unrestricted licence permits the holder to carry on Class II restricted activities as well as trust business.
  • Class III – licence permits the holder to carry on business as a registered agent for international insurance.
  • Class IV – licence permits the holder to act as or arrange for another person to act as a director or nominee shareholder for another person

An applicant for licence under the Nevis Trust and Corporate Service Providers Ordinance, must complete the following forms:

 

The forms must be accompanied by supporting documents; and the prescribed fee.

The Licensing Committee will process the application in accordance with its application processing procedures. Upon completion of this process, if it is satisfied that an application is in order and the applicant is a fit and proper person to be licensed to conduct trust and corporate services business, the Licensing Committee will approve the application and issue the relevant licences to the applicant subject to the applicant paying the prescribed licence fees.

Due diligence investigations and fit and proper assessments are also conducted on the principals, shareholders, beneficial owners, directors, etc of the applicant.   The relevant forms and fees are contained in the Nevis Trust and Corporate Service Providers (Forms and Fees) Regulations.

Under the Alien Land Holding Act Cap. 102, foreign beneficial owners and directors of a local company must have an Alien Land Holding licence to hold shares in the company and act as directors. These applications are made through the Ministry of Agriculture. Work permits are also required for the staff that are non-nationals of the Federation of St. Kitts and Nevis.

A licence issued by the Licensing Committee shall be subject to the conditions that the licensee:

  • carries on business only in accordance with the class of licence issued;
  • informs the Licensing Committee by notice in writing within 30 days of any change, or proposed change, in the information contained in, or supplied with the last application for a licence;
  • informs the Licensing Committee of any change of address of the licensee;
  • requests and receives prior written approval from the Licensing Committee, within 30 days of the date of the request, to operate a subsidiary, branch, agency or representative office outside of the Island of Nevis;
  • does not appoint members to its board of directors or appoint any senior management staff without the prior written approval of the Licensing Committee.
  • shall, if a company, at no time have fewer than two directors who must be individuals

All TCSPs are required to submit annual audited financial statements within 3 months of the end of their financial year in accordance with sections 35-37 of the Financial Services Regulatory Commission Act (FSRC Act).

They are also subject to AML/CFT compliance audits as mandated under the FSRC Act, the Anti-money Laundering Regulations, 2011, the Anti-Terrorism (Prevention of Terrorist Financing) Regulations, 2011 and the Financial Services (Implementation of Industry Standards) Regulations, 2011. The Compliance audits are undertaken pursuant to our Risk-Based Supervisory Framework to evaluate the adequacy and completeness of the measures that are in place for AML/CFT with special attention on the internal controls procedures for client acceptance, monitoring risks, suspicious activity reporting to authorities and record keeping.

LICENSING FEES

Application for Licence  

1,890.00

 

700.00

TYPE OF LICENCE
Class I Licence 2,700.00 1,000.00
Class II Restricted Licence

Class II Unrestricted Licence

2,700.00

5,400.00

1,000.00

2,000.00

Class III Licence 4,050.00 1,500.00
Class IV Licence 2,700.00 1,000.00
Additional fees for authorised persons (51 – 500 entities) 945.00 350.00
Additional fees for authorised persons (501 – 1000 entities) 1,350.00 500.00
Additional fees for authorised persons (1001 – unlimited) 4,050.00 1,500.00

 

LICENCE RENEWAL FEES

  FEE

(XCD)

FEE

(USD)

TYPE OF LICENCE

Renewal of Class I Licence 2,700.00 1,000.00
Renewal of Class II Restricted Licence

Renewal of Class II Unrestricted Licence

2,700.00

5,400.00

1,000.00

2,000.00

Renewal of Class III Licence 4,050.00 1,500.00
Renewal of Class IV Licence 2,700.00 1,000.00
Renewal fees for authorised persons (51 – 500 entities) 945.00 350.00
Renewal fees for authorised persons (501 – 1000 entities) 1,350.00 500.00
Renewal fees for authorised persons (1001 – unlimited) 4,050.00 1,500.00

 

FEES FOR ANCILLARY SERVICES

 

TYPE OF DOCUMENT AND SERVICE

FEE

(XCD)

 

FEE

(USD)

 

Due Diligence Fee  – St. Kitts and Nevis National/Resident who has resided outside of St. Kitts and Nevis for five (5) years or more  

4,050.00

 

1,500.00

Due Diligence Fee – Other CARICOM National 6,750.00 2,500.00
Due Diligence Fee – Other Foreign National 13,500.00 5,000.00
Application for approval of director or senior management staff of a licensee 540.00 200.00
Application for approval of shareholder/beneficial owner 1,350.00 500.00
Approval for issue, transfer, disposal of shares (no change in control) 810.00 300.00
Approval for name change 270.00 100.00
Approval for change of financial year end 270.00 100.00
Approval or appointment/change of Auditors 405.00 150.00
Amendments to the business plan 270.00 100.00
Approval for change of registered office 270.00 100.00
Approval for voluntary winding up 270.00 100.00
Approval to enter into a merger, amalgamation or consolidation 1,350.00 500.00
Request for approval of subsidiary/branch 1,350.00 500.00
Miscellaneous requests for letters 405.00 150.00
Request for extension of submission of audited financial statements 405.00 150.00
Late submissions 270.00 100.00
Penalties for late submissions 135.00 50.00

(for each day in default after deadline)

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Credit Unions

Application and Registration Fees for a Credit Union

Total Assets Application Fee (Non-refundable) Annual Registration Fee
Less than $20 000 000 $3,500.00 $5,000.00
Between $20 000 000-$40 000 000 $3,500.00 $7,500.00
Greater than $40 000 000 $3,500.00 $10,000.00

FND Co-operative Credit Union
Nevis Co-operative Credit Union
Police Co-operative Credit Union
St. Kitts Co-operative Credit Union

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Money Services Business

Money Services Business means the business of providing as a primary service any of the following: transmission of money or monetary value in any form; cheque cashing; currency exchange; the issuance, sale and redemption of payment instruments; any other services the Minister may specify by notice published in the gazette; or the business of operating as an agent or franchise holder.

The several classes of licence issued under the Money Services Act, No. 26 of 2008, shall authorize the holders to carry on money services business as specified –

  • CLASS A licence permits the holder to carry on the transmission of money or monetary value in any form, the issuance, sale or redemption of money orders or traveller’s cheques, cheque cashing and currency exchange.
  • CLASS B licence permits the holder to carry on the issuance, sale or redemption of money orders or traveller’s cheques, cheque cashing and currency exchange.
  • CLASS C licence permits the holder to carry on cheque cashing.
  • CLASS D licence permits the holder to carry on currency exchange.
  • CLASS E licence permits the holder to carry on pay day advances.

Where different places of business are kept in the name of the same legal person, a separate licence is required for each such place of business.

In order to obtain a licence as a money services business, a person shall apply in writing to the Financial Services Regulatory Commission, pay the prescribed application fee, complete Form A and Form B as outlined in Schedule 2 of the Money Services Business Act of 2008 and submit the required documents. The Financial Services Regulatory Commission will process the application in accordance with its application processing procedures. Upon completion of this process, if it is satisfied that an application is in order and the applicant is a fit and proper person to be licensed to conduct money services business, the Financial Services Regulatory Commission will approve the application and issue a licence to the applicant subject to the applicant paying the prescribed licence fee and making the prescribed statutory deposit in accordance with the Money Services Business Act.

It is anticipated that every sponsor will arrange for a delegation of its senior officers, or, in the case of an independent institution, of its principal controllers, to make a presentation in respect of the applicant and its proposed business before a formal application is submitted.

Audited Financial Statements

  1. If the applicant is a business that was existent and operating prior to the date of application, copies of audited financial statements (balance sheet, profit and loss, auditor’s report and notes to accounts) for the five consecutive years immediately preceding its application, except however that where such applicant has been functioning for less than five years, a copy of its audited financial statements for each year it has been in operation shall be sufficient.
  2. Where item 1 is not applicable the opening balance sheet, (audited).
  3. Operating projections for the proposed licensee’s first five years of business. This should include balance sheet, income statement and cash flow projections prepared in an acceptable accounting format. Details of any financial or economic assumptions on which these projections are based should be clearly indicated.
  4. Where Applicant is a subsidiary or affiliate of another company, submit in addition to item 1 or 2, audited financial statements of the parent company and all other “connected” companies.

Licensed Money Services Businesses

  • MP Express
  • Western Union

Form A – Information to be contained in and to accompany an application for the grant of a licence.

Form B – Personal questionnaire (Fit and Proper Test)

NFSD MSB application forms A and B

Application and annual licensing fees are as follows:

Class Application Fee Annual Licence Fee
Class A $2,000 $10,000
Class B $2,000 $10,000
Class C $2,000 $10,000
Class D $2,000 $10,000
Class E $2,000 $10,000

Duration of Money Services Businesses

A licence to carry on money services business is valid from the date of first issue to the 31st December of that year and is renewable each year on payment of the prescribed annual fee on or before the 15th day of January.

If the Commission has reasonable cause to suspect that any person is carrying on money services business without a licence granted under the Money Services Business Act, No. 26 of 2008, the Financial Services Regulatory Commission may relay the matter before a Magistrate with regards to its suspicions.

Accounts

A licensee is required to appoint annually an Auditor who must be a Chartered Accountant, Certified Public Accountant, a member of the Institute of Chartered Accountants of the Eastern Caribbean or some other professionally qualified accountant, whose duty shall be to prepare reports on the annual financial statements and financial position of the licensee.

Accordingly, the licensee must, within three months of the end of their financial year, forward the audited financial statements to the Financial Services Regulatory Commission unless prior written approval for an extension was granted by the Commission.

A licensee shall institute procedures to ensure that its accounting records and systems of business control comply with the requirements of the Anti-Money Laundering Regulations, No. 25 of 2008.

Annual Returns

The holder of a Class A or Class B licence, must, within the format provided by the Financial Services Regulatory Commission, file quarterly returns with the Commission within fifteen days of the end of a quarter, along with a written declaration that the information set out in the application for the licence remains correct and gives a fair picture of the operations of the money services business.

The holder of Class C, Class D or Class E licence must, within fifteen days of the end of the financial year, file an annual return with the Commission along with a written declaration that the information set out in its application remains correct.

Revocation and Termination of a Licence

The Financial Services Regulatory Commission may revoke any licence to carry on money services business in Saint Christopher and Nevis if the licensee (a) fails to commence operations within a period of three (3) months following the granting of the licence; (b) fails to comply with the conditions or restrictions of its licence; (c) is in breach of any of the provisions of the Money Services Business Act; (d) ceases to carry on money services business in Saint Christopher and Nevis; (e) is conducting its affairs in a manner detrimental to the public interest or to the interest of its customers; (f) goes into liquidation or is winding up or otherwise dissolved; (g) by reason of any other circumstance, is no longer a fit and proper person to hold a licence. The Financial Services Regulatory Commission will also terminate a licence at the request of the licensee.

Where a licence to carry on money services business in Saint Christopher and Nevis has been revoked, the Financial Services Regulatory Commission will publish a notice of the revocation in the Gazette and a newspaper circulating in Saint Christopher and Nevis and take any other steps necessary to inform the public of such revocation.

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International Banking

The matter in respect of which the prescribed fee is payable  

USD

Initial licence fee 100,000.00
Application fee     7,500.00
Administrative fee     2,500.00
Annual licence fee 100,000.00
Regulatory requests for approval and ancillary matters USD
Change of shareholder/director/senior management or other control person 1,000.00
Amendments to ownership structure 1,000.00
Approval for issue, transfer, disposal of shares (no change in control) 500.00
Approval for change of particulars 500.00
Approval for change of name 1,000.00
Approval for altering articles of incorporation and by laws 500.00
Approval for appointment of auditors 250.00
Request Extension of time for filing of regulatory reports 150.00
Amendments to the business plan 500.00
Approval for use of the word “Bank” and its derivatives 500.00
Approval for registered office or change of registered address 200.00
Approval of maintenance of reserve fund 500.00
Approval for voluntary winding up 2,500.00
Approval to enter into a merger, amalgamation or consolidation 2,500.00
Request for approval of subsidiary/sales office 2,500.00
Regulatory request letter 350.00
Request for change in auditor 250.00
Request for extension of submission of quarterly returns 150.00
Request for extension of submission of audited financial statements 150.00
Miscellaneous request 300.00
Onsite examination fee – subsidiaries and overseas based operations 20,000.00
Late submission of Quarterly Returns 5,000.00 and 500.00 for each day in default
Late submission of audited financial statements 1,500.00 & 150.00 for each day in default

Offences in respect of which liability to conviction may be discharged by payment of fixed penalty

Section of Ordinance Section of Ordinance Fixed Penalty
  6 (2) Carrying on International Banking within Nevis without a license Not exceeding $500,000.00 and a further penalty of $50,000.00 for each day in default
  15 (11) Breach of condition of license $25,000.00 and a further penalty of $1,000.00 for each day in default
  16 (2) Failure to display copy of current license $25,000.00 and a further penalty of $1,000.00 for each month in default
  17 Unauthorised use of the word “bank” in name $25,000.00 and a further penalty of $1,000.00 for each day in default
  21 Appointment of a person debarred from management $25,000.00 and a further penalty of $1,000.00 for each day in default
  25, 26, 27,    28 Failure of director to disclose and declare interest $10,000 for each contravention
  29 Disclosure of confidential information $20,000.00
  31 Failure to forward to the Regulator and shareholders, copies of Annual Audited Financial Statements by the prescribed date or forwarding returns after the prescribed date $25,000.00 and a further penalty of $1,000.00 for each month in default
  76 Failure to report to the Regulator any abandoned property in its possession or failure to deposit or convey to the Administration and abandoned property $25,000.00 and a further penalty of $1,000.00 for each day in default
  77(1) and      (2) Conducting international banking from within Nevis during any period in which a licensee/director/officer does not hold a license Not exceeding $250,00.00 (Licensee)

Up to $50,000.00 (director/officer)

  78 Engaging in advertising practices contrary to Ordinance $10,000.00 and a further penalty of $1,000.00 for each day in default
  79 Making false statements and obstruction $50,000.00
  10(4) Failure to submit returns as required by the Regulator $5,000.00

The Application and supporting forms for international banking licences are available below. You are strongly advised to contact the International Banking Division to discuss your proposals before completing and submitting an application form.

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Insurance

Definitions

The Nevis International Insurance Ordinance 2004 as amended allow for entities to be licensed insurance companies under the defined Act.

The following are the types of Insurance Entities:

  • Allied Reinsurance – means a company carrying on insurance business where the registered reinsurer is allied to a primary insurer who typically initiates insurance contracts as part of its normal course of business, and the allied reinsurer will only assumes risks and accepts premiums from this primary insurer;
  • Allied Annuity – means a company carrying on insurance business where the registered insurer’s business entails only the issuance of annuity contracts, and/or single premium life contracts, and where premiums are acceptable only from its parent(s), or other person(s) of substantial relationship, whether personal or business, and the number of annuitants does not exceed ten (10) persons;
  • Captive Insurance Business – means insurance business where the insured is a parent or affiliated company of the registered insurer or is a person in respect of whom the registered insurer is authorized by the Registrar to provide insurance;
  • General Business – means insurance business that is not long-term business, reinsurance business or captive business and without limiting the generality of this term includes marine insurance, engineering insurance, aviation insurance, transportation insurance, motor insurance, property liability insurance, pecuniary loss insurance, credit and guarantor insurance and miscellaneous personal insurance;
  • Insurance Adjuster – means a person, not being an employee of a registered insured, but employable by insurer or insured, who investigates, qualify and/or quantify a loss experienced in relation to a covered risk;
  • Insurance Broker– means a person, not being an employee of a registered insured, who arranges contracts of insurance between insurer and insured, or gives advice facilitating the sale of insurance contracts, or is authorized by one or more insurer to enter that insurer into contracts of insurance, collect premiums, and otherwise act as the insurer in dealing with the insured.
      1. provides management services for one or more insurers; or
      2. holds himself out as a manager in relation to one or more insurers, but does not include the keeping of insurance business accounts for a registered insurer

    No Person shall act as an insurance manager for, or in relation to, a registered insurer, unless that person is registered in a register to be kept by the Registrar in accordance with regulations and has paid to the Registrar the prescribed fee and every prescribed registration fee and every prescribed annual renewal fee.

  • Long Term Insurance Business– means insurance business of any of the following kinds, namely,–
    • affecting and carrying out contracts of insurance on human life or contracts to pay annuities on human life;
    • effecting and carrying out contracts of insurance against risks of the persons insured sustaining injury as the result of an accident, or of an accident of a specified class, or dying as the result of an accident or of an accident of a specified class, becoming incapacitated in consequence of disease, or disease of a specified class, being contracts that are expressed to be in effect for a period of not less than five years or without limit of time and either not expressed to be terminable by the insurer before the expiration of five years from the taking effect thereof or are expressed to be so terminable before the expiration of that period only in special circumstances therein mentioned;
    • effecting and carrying out contracts of insurance, whether effected by the issue of policies, bonds or endowment certificates or otherwise, whereby in return for one or more premiums paid to the insurer a sum or a series of sums is to become payable to the persons insured in the future, not being contracts such as to fall within either paragraph (a) or (b); and
    • any kind of insurance business declared by regulation to be long-term business;
  • Reinsurance – means insurance business where the risk insured by a person is a risk that person has accepted from an insurer;
  • Registered Agents – A Registered insurer shall appoint a Registered Agent in Nevis where its principal place of business is outside Nevis and Manager is not resident in Nevis.

Minimum Paid Up Share Capital

The minimum paid up share capital for the classes of insurance business are as follows:

US$185,000 Long-Term Business
US$185,000 General Insurance Business
US$75,000 Reinsurance Business
US$10,000 Single-Owner Captive
US$20,000 Less than 5 Owners Captive and
US$50,000 5 or more Owners Captive
US$10,000 Allied Reinsurance Business
US$10,000 Allied Annuity Insurance Business

Minimum Margin of Solvency

“Minimum margin of solvency” is the amount by which an insurer’s assets must exceed its liabilities.

In the case of an insurer other than an insurer carrying on long-term business, the minimum margin of solvency shall be at least the minimum amount of paid up capital as prescribed in section 7 (1)(b) of the Ordinance or, if greater:

  • where the net retained premium of the insurer does not exceed $5,000,000 the prescribed amount is 20% of net retained premium;
  • where the net retained premium of the insurer exceeds $5,000,000, the prescribed amount is US$1,000,000 plus 10% of the amount by which net retained premium exceeds US$5,000,000.

In the case of an insurer carrying on long-term business the minimum margin of solvency shall be at least the minimum amount of paid up capital as prescribed in sub-regulation (a)(ii) of the Ordinance.

In the case of an insurer carrying on long-term business and other business the minimum margin of solvency shall be the aggregate of the amounts required by sub-regulations (a) and (b) of the Ordinance, in respect of both categories of business.

For the purposes of calculating the margin of solvency of an insurer, the registrar shall take into account all assets of the insurer that he reasonably considers to be allowable and shall exclude all those that he reasonably considers to be not allowable.

License Application Registration Renewal
Allied Annuity Company 450 1,500 1,500
Allied Reinsurance 450 1,000 1,000
Captive Insurer 450 2,000 1,500
General Insurance 2,500 3,000 3,000
Reinsurance 450 2,200 1,700
Long Term Insurance 2,500 3,000 3,000
Insurance Adjuster 500 2,000 2,000
Insurance Broker 500 2,000 2,000
Insurance Manager 500 3,000 3,000
Registered Agent 500 3,000 1,500
Penalties for late filing of any of the above renewal fees (to be paid in addition to renewal fee):-
(a) After January 31 1/2 of applicable annual renewal fee
(b) After June 30  a sum equal to the applicable annual renewal fee

 Other Fees (USD)

Certificate of Endorsement 10
Certificate of Incorporation 10
Change of Shareholder/Director/Other Control Person 300
Approval for Issue, Transfer, Disposal of shares where ultimate beneficial ownership remains the same 100
Change/ Amendment to the business plan 200
Dividend Request 300
Other Miscellaneous request 200
Request for extension of submission of annual accounts 300
Request for waiver of submission of annual accounts 200
Request for a name change 200
Request for change in auditor 300
Request for cancellation of licence 200
Request for re-domiciliation (outward) 200
Request for dissolution/voluntary wind up 200
Penalties
Late submission of annual accounts (General & Long Term) 1500.00 with 150.00 for each additional day for failing to submit
Late submission of annual accounts (Other) 200 with 50.00 for each additional day for failing to submit

  • All annual fees are due by 31st January each year for licenses in effect on 1st January of that year.
  • In the case of an insurer carrying on more than one class of business the prescribed fee shall be the aggregate of the prescribed fees in respect of each class of business.
  • Where an insurer is in run-off the prescribed fees shall be fifty percent of the regular fees.
  • External Due Diligence fees are subject to a rate of US$5,000.00 per person applicable to each foreign control person and or key persons wishing to conduct business under the following business entities namely: Insurance Manager, Registered Agent, Insurance Broker, and Insurance Adjuster.  Furthermore, please be advised that individuals who are proposed to be a control person of a General or Long Term Insurance Company may be required to undergo an external due diligence search at the discretion of the Registrar.

It is essential that all prospective applicants familiarize themselves with the relevant local insurance laws, regulations, rules and codes, including the anti money laundering requirements, before applying for a license to become a registered insurer in Nevis’ jurisdiction. An international insurer applicant should contact one of the licensed insurance managers in Nevis to discuss any management requirements. Please be aware that the Financial Services Department is unable to make any recommendations in this respect.

It is recommended that prospective applicants contact the Department at the earliest possible opportunity to discuss their outline proposals.

Should a prospective applicant wish to proceed with a formal application for licensing, a completed application form, together with the relevant fees and all necessary documentation, should be submitted to the Department for processing.

The required documents are as follows:

In order to apply for a registered insurer, registered Insurance Manager or registered agent’s license the following must be submitted to the Nevis Financial Services Department:

Completed Application form –

  • Completed Personal Questionnaire Form (Form 2) (all directors, beneficial owners and shareholders, managers and officers) At least 2 directors is required – Section 34 of the Ordinance
  • Completed Insurance Manager Undertaking Form (Form 6) (all beneficial owners of the entity to be registered)
  • Application fee
  • Due diligence documentation must be submitted with the application for each control person (directors/ shareholders/managers/officers) who have completed a Form 2, this includes:
    • Notarized passport declaration pages or government issued photo ID
    • Utility bill confirming address (dated within 3 months of application date)
    • 2 references: 1 professional reference (from accountant, lawyer, or administrator etc), 1 bank reference (on company stationery) attesting to good standing of individual
    • Police record (preferred) and/ or notarized criminal history declaration form or affidavit
    • Curriculum vitae for each control person (directors, manager, officers). For each director it is preferred that skill and expertise along with professional qualifications be highlighted.
    • Annual accounts for 2 years preceding year of application, of each shareholder which is a body corporate holding more than 10% of the applicant’s issued share capital or total voting rights, together with similar accounts for the parent body, if any, of each such body corporate.
  • Business plan must be submitted with application
  • Financial projections (3-5 yrs minimum) including Pro Forma Income Statement, Balance Sheet and Cash Flow Statement
  • Documents by which the body corporate is to be constituted such as Articles of Incorporation, Memorandum of Association, Articles of Association, By-laws etc. If not yet incorporated attach the proposed documentation.
  • Insurance Manager/ Registered Agent Agreement (ALLIED REINSURANCE AND ALLIED ANNITY).
  • A list of all insurers whom the applicant is, or will be engaged to act as manager or consultant (INSURANCE MANAGER/ REGISTERED AGENT)
  • External Due Diligence Fee of US 5000 per non national control person (INSURANCE MANAGER/ REGISTERED AGENT/ GENERAL INSURANCE/ LONG TERM INSURANCE)
  • An undertaking from company management that risks and premiums will only be assumed from named and approved primary company; (ALLIED REINSURANCE)
  • Specimen Contracts indicating (i) the annual maximum frequency and amount of contribution; and (ii) maturity (ALLIED REINSURANCE)
  • Registration fee is required to be paid before the applicant receives the license.
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