Written by Joe Truelove, Non-Executive Director
Originally designed for use in the captive insurance sector,
the protected cell company has established itself as a
go-to-solution for myriad of different uses in the 25 years since
its creation. Here, Guernsey non-executive director Joe Truelove
explores some of those uses.
2022 is the 25th anniversary of the introduction of protected
cell companies (PCCs) in Guernsey. Back in 1997, this was a truly
innovative legal concept which has been copied by many
jurisdictions since, often adopting the name of segregated
portfolio company.
The concept underpinning the structure is that the PCC is one
legal entity within which there are a series of pools of segregated
assets and liabilities. Apart from the cells there is also a core
which is responsible for the management of the structure and has
the board of the entity attached to it. Each of the cells, and the
core and their liabilities, are segregated from one another.
