companies, according to figures released by Tillinghast.

The company estimates that Bermuda is home to 1,240 of the world's 3,200 captives.

The next most popular jurisdiction is the United States (including the US Virgin Islands), with 509 captives. Most of the US captives are based in Vermont (225), with another 180 in states without specific captive legislation, 32 in Colorado, 28 in Hawaii, a combined total of 27 in Delaware, Georgia, Illinois and the USVI and 17 in Tennesee.

The Cayman Islands has 372, followed by Guernsey (228), Barbados (185), Luxembourg (160), the Isle of Man (125), Ireland (65), Singapore (48) and the Bahamas (32). All other non-US account for 236.

The figures are contained in the latest edition of Captive Insurance Company Reports, which is published monthly by Tillinghast.

Although the net change in most captive domiciles was positive in 1992, CICR stated: "All in all, 1992 was not a very auspicious year in terms of captives formed.'' This was a reference to the "considerable acitivity on the regulatory front and in tax factors''.

CICR added: "The environment in 1992 continued `soft': that is, insurance capacity was plentiful and rates stayed low. Formation of new captives is usually discouraged during soft markets.

"However, towards the end of 1992 insurance rates turned upwards and renewals of large blocks of business revealed capacity problems for property as well as some liability accounts.

"The formation of new captives in 1992 was also due to the efforts of the promoters, who were busy at conferences and briefings in the US as well as in Europe.''