Government Reviews Proposed SHIC Premium Increase Affecting Over 12,000 Residents

The Ministry of Health, Environment and Sustainability (MHES) and the Department of Health Regulatory Services (DHRS) are actively reviewing a proposed increase to Standard Health Insurance Contract (SHIC) premiums that could affect more than 12,000 residents across the Cayman Islands.

The proposed adjustment, submitted by Coralisle Medical Company LTD (CG Britcay) and scheduled to take effect on 1 July 2026, would increase premiums by approximately 25 per cent across all SHIC categories. According to the insurer, the increase is the first adjustment to SHIC rates since 2013 and is attributed to claims experience, healthcare cost trends and increased use of advanced medical services now available locally.

The Health Insurance Commission is aware of the significant implications of this proposed increase and its potential impact on the 12,200 employees and dependents currently enrolled under CG BritCay's SHIC policies.

Minister for Health, Environment and Sustainability, Hon. Katherine Ebanks-Wilks, said that "Government recognises the concern that the proposed increase has generated among workers, families and employers."

"Government is acutely aware of the cost-of-living pressures facing Caymanian families, workers and businesses. An increase of this magnitude would have a direct impact on more than 12,000 people who rely on SHIC coverage, and we understand the concern this announcement has generated," said Minister Ebanks-Wilks.

"Affordable healthcare coverage is not a luxury; it is a necessity. At a time when many households are already facing increasing costs, Government cannot simply stand by while a proposal of this scale is considered. My Ministry will continue working closely with the Health Insurance Commission and the Department of Health Regulatory Services to ensure that the interests of policyholders remain at the centre of this process."

Under Sections 6(2) and 6(3) of the Health Insurance Regulations (2017 Revision), approved insurers are required to provide the Commission with detailed information supporting any proposed increase to SHIC premium rates, including claims history, loss ratios and projection assumptions.

The Regulations further provide that where the Commission determines that a proposed standard premium rate is excessive, inadequate, unfairly discriminatory or unreasonable, it must notify the insurer and, following an inquiry, may order an adjustment to the proposed rate within fifteen working days.

Director of The Department of Health Regulatory Services and Superintendent of Health Insurance, Mr. Mervyn Conolly, said "The Commission is conducting a detailed assessment of the actuarial data, claims experience, healthcare utilisation trends and other supporting information provided by the insurer to determine whether the proposed rates satisfy the requirements established under the Health Insurance Act and Regulations," said Mr. Conolly.

"Regulation 6(3) provides the Commission with clear authority to intervene and it is our responsibility to ensure that any proposed increase is evidence-based, justified and consistent with the legislative framework designed to protect policyholders."

The Department of Health Regulatory Services and the Health Insurance Commission are currently reviewing the insurer's submission and all relevant supporting information. The Commission and the Ministry are also in communication with CG BritCay as discussions continue regarding the proposed increase and its impact on policyholders.

Acting Chief Officer in the Ministry of Health, Environment and Sustainability, Mrs. Exie Tomlinson-Panton, said the Ministry remains focused on ensuring that healthcare coverage remains accessible and affordable for residents.

"We recognise the importance of affordable health insurance to families and businesses in Cayman. The Ministry will continue working with all relevant stakeholders to ensure that residents' interests remain at the forefront of this process."

Further updates will be provided as the review process progresses.