FAQs

On this page you’ll find answers to some of the most frequently asked questions about protected cells.

What is a PCC?

A Protected Cell Company (PCC) is a single legal entity comprising of a core and an unlimited number of segregated parts, or ‘cells.’ The PCC is established by the parent or sponsor, and is managed by an appointed board of directors. The day-to-day management of the PCC is usually conducted by an insurance management company.

What risks can I write in a protected cell?

BBI can write business across a number of general insurance classes. Companies have established cells for a variety of risks, some which may be bespoke to their business, or others wishing to take a share of a more traditional line. Businesses not typically from the insurance sector have also created Cells to sell insurance to third-parties.

How long does the process take?

Each cell must go through the Malta Financial Services Authority (MFSA) application process, including the submission of a three-year business plan. The application form, together with a scheme of operations, will be processed by the MFSA within a statutory period of three months.

What are the costs associated with a cell?

Fees typically consist of a minimum fee for providing the PCC facility, a fee covering the work involved in the administration of the cell, and a risk premium based on the type of business and relevant risk exposure (if any). The cell structure can offer significant cost savings in comparison to a stand-alone captive, especially under the new Solvency II regime.

Can we choose the name of our cell?

This is the choice of the cell owner, subject to approval by the Board of Directors and the Malta Financial Services Authority (MFSA).

Who do you work with in Malta?

We work closely with our Insurance Manager, WILLIS TOWERS WATSON MANAGEMENT (MALTA) LIMITED, to ensure we are fully compliant with requirements from the MFSA and to provide and implement innovative solutions.

Why are you based in Malta?

Malta is the only full EEA member state with protected cell legislation allowing companies to write cross-border risks directly throughout the EU and the EEA. The rapid expansion of the financial sector in Malta also provides a wealth of experienced and qualified staff.

Who regulates Building Block PCC?

Building Block PCC is authorised by the Malta Financial Services Authority and is subject to limited regulation by the Financial Conduct Authority and Prudential Regulation Authority.  We are members of the Financial Services Compensation Scheme (FSCS).