Captive PCR: PINS 14.4.3(1) exempts Class 1, 2 and 3 captives, while the AFSA Guidance (2020) says only Class 1 is exempt

PINS 14.4.3(1) says Class 1, 2 and 3 Captive Insurers "are not required to calculate" the Prescribed Capital Requirement; 14.4.3(2) says each Cell of a Protected Cell Company "must calculate" it. Read with the heading, (2) is the specific rule for PCC cells. The AFSA's Guidance to the AIFC Captive Insurance Regime (13 December 2020) says only pure captives (Class 1) are exempt, which differs from 14.4.3(1).

Proposed correction

Please confirm whether the exemption in 14.4.3(1) is meant for Class 1 only (as in the Guidance) or for all classes, and align the text or the Guidance.

Jurisdiction

Kazakhstan — AIFC

Act

AIFC Insurance and Reinsurance Prudential Rules

Place

PINS 14.1.1

Record

Question of reading or data

Class

Question of reading or data

Where it arose

The amending act

Arxo's conclusion

Confirmed

Official text

Unchanged at last check

Last checked

2026-10-24

Evidence

Contradiction within the text. Quotations are verbatim from the official material; translations are ours and marked.

A Captive Insurer is an Authorised Firm with a Licence to carry on Insurance Business as a Class 1, Class 2 or Class 3 Captive Insurer.

An Authorised Firm which is a Protected Cell Company (PCC) incorporated under the Companies Regulations may apply to the AFSA for a Licence to conduct Captive Insurance Business.

Class 1, Class 2 and Class 3 Captive Insurers are not required to calculate Prescribed Capital Requirement;

For a Protected Cell Company each Cell of a Protected Cell Company must calculate its Prescribed Capital Requirement in accordance with PINS 5.2.3 (Obligation to calculate PCR) as if it were a stand-alone Insurer.

An AIFC-Incorporated Insurer must at all times have Eligible Capital equal to or higher than the amount of its PCR.

Because of the lower risk of pure captives (Class 1 in the AIFC), they are exempted from the obligation

Each Cell of a Protected Cell Company must calculate its Prescribed Capital Requirement in accordance with PINS 5.2.3 (Obligation to calculate PCR) as if it were a stand-alone Insurer.

How to check it without Arxo's tools

1. Open AIFC Insurance and Reinsurance Prudential Rules and find PINS 14.1.1; PINS 14.2.1(1); PINS 14.4.3(1); PINS 14.4.3(2); PINS 5.4.2 (applies to captives via 14.3.4). Compare the text with the quotation above. A copy is kept in this register: 3f9031ccaf1b4673-aifc-insurance-and-reinsurance-prudential-rules.pdf (SHA-256 3f9031ccaf1b4673811786d2cd011df2d712e9245c96f21c34fbf532bfcbfff7, copy of the official file).
2. Open Guidance to the AIFC Captive Insurance Regime for Captive Insurers and Captive Insurance Managers and find AFSA Guidance to the AIFC Captive Insurance Regime (13.12.2020), p.3. Compare the text with the quotation above. A copy is kept in this register: fb612ca7e20ee6e5-guidance-to-the-aifc-captive-insurance-regime_13.12.2020.pdf (SHA-256 fb612ca7e20ee6e5f1cfaa2752c2938f6761f8cd313fd597fed62006a85d1630, copy of the official file).
3. Open AIFC Insurance and Reinsurance Prudential Rules (initial release) and find PINS initial release (2 December 2018), 14.4.3 - only the PCC sentence. Compare the text with the quotation above. A copy is kept in this register: 77d2ce624506daad-aifc-insurance-and-reinsurance-prudential-rules-initial-release.pdf (SHA-256 77d2ce624506daad4f1595fae4d780b41faae2ecf74567c54b509383ec6051ba, copy of the official file).
4. The finding holds if the quoted passages read as shown and the comparison gives the result stated at the top of this page. If it does not, write to us with the record ID.

How this finding was made

AI agents read the official texts, turned the provisions concerned into executable rules and ran the comparison; they also drafted this record. A person at Arxo checked the finding and approved the report before it was sent (2026-10-27).

Responsible institutions

• Astana Financial Services Authority (AFSA) — author of the AIFC Rules

Reported to

Responses

No response recorded.

Documents and reproduction

• AIFC Insurance and Reinsurance Prudential Rules
• Guidance to the AIFC Captive Insurance Regime for Captive Insurers and Captive Insurance Managers
• AIFC Insurance and Reinsurance Prudential Rules (initial release)

History

1. 2026-10-24Confirmed by Arxo
2. 2026-10-27Entered in the register
3. 2026-10-27Reported to Astana Financial Services Authority (AFSA) (e-mail)

Cite this record

Arxo Law, Arxo Findings Register, ARXO-2026-0136, https://arxo.io/findings/ARXO-2026-0136/ (status as of 2026-10-24). Data: ARXO-2026-0136.json.