What is the current state of the insurance and car dealership sectors in Sint Maarten and the Caribbean? Challenges and opportunities?
The insurance business is facing a hard market right now. This term refers to reinsurers being less willing to provide coverage compared to before, particularly after the major hurricanes in recent years—Irma and Maria in 2017, Dorian in 2019, Ian in 2022, and more recently, Helene and Milton. These events have strained the market, with premiums increasing as much as 50% in some regions north of Barbados. This creates challenges, as high premiums make insurance unaffordable for many, leading to underinsurance at a time when climate change is worsening. However, hard markets also present opportunities—higher premiums can lead to better profits for insurers during non-hurricane years. Ideally, we aim for balanced conditions where premiums are reasonable, and coverage is adequate.The car business is doing exceptionally well, especially post-COVID. Hurricanes, ironically, help the car sector as damaged vehicles need repair or replacement, driving sales. Since 2022, the auto business has been booming across competitors, and Motorworld has captured a significant portion of this growth.
Could you give us a presentation on Nagico Insurances and Motorworld Group and provide some key figures?
Nagico Insurances was founded in 1982, and I’ve been involved since the beginning. We are the largest privately-owned insurance group in the Caribbean, generating $250 million annually in premiums. We operate in 26 territories with full office representation and in all French, Dutch, and English territories—something unique to us.Motorworld Group, established in the early 1980s, became part of our portfolio in 2003-2004. We’ve transformed it into the number-one dealership in St. Martin, with 40-50% market share, a feat rarely seen globally.
What are some of the main projects you are currently working on?
Our family group is working on various ventures. One exciting project is an airport hotel with shopping and a state-of-the-art ferry terminal to Anguilla and neighboring Islands. We aim to enhance Sint Maarten tourism infrastructure while maintaining its charm.
How are your companies adapting to technological and digital advancements to improve its services and competitiveness?
At Nagico, we are embracing new technology by partnering with a group from Qatar to develop a cutting-edge insurance platform and service system. This major project is expected to enhance our service offerings and give us one of the best systems in the region.Additionally, we're expanding our presence by partnering with managing general agents across the Caribbean, focusing particularly on the French territories. As the only fully licensed Caribbean company authorized to operate in all French territories, we see a significant competitive advantage. Our growth strategy involves collaborating with experienced agents to strengthen our market position.
How does the Companies engage in corporate social responsibility (CSR) and support local communities?
Our family is known for philanthropic efforts, particularly in youth,culture, sports, and carnival celebrations. Supporting these causes not only contributes to society but also strengthens our brand presence.
We're deeply involved in sports and culture. For example, my family is the number one supporter of cricket and we’ve helped to produce international cricketers. I actually started the coaching program here, and we have players who’ve gone on to join the West Indies cricket team. In fact, one of our players was key in helping the West Indies win a series against England by scoring the most runs in the match that clinched the win and the series.Beyond sports, we’re also the largest contributor to Carnival in both Sint Maarten and Anguilla. We believe it’s essential to preserve and celebrate Caribbean culture, We do this on a large scale, and we still run the Calypso King Award, honoring the best calypsonian each year with a financial prize. It’s a way for us to ensure that our cultural traditions continue to thrive.
Your vision for Sint Maarten in the next couple of years. How do you see it developing itself?
Sint Maarten faces challenges, from infrastructure to governance, but its potential is immense. I envision tunnels and improved infrastructure to address traffic and urban planning issues. Collaboration with France and the Netherlands is vital for funding and technical support.
What is your final message to Newsweek readers considering Sint Maarten as a potential investment and/or tourism destination?
Sint Maarten offers a strong currency, with the Dutch side using the Caribbean Guilder tied to the US dollar and the French side using the Euro. Most transactions are conducted in US dollars or Euros, providing currency stability for investors.Unlike many other islands, there are no special permits or fees for foreign investors to buy property here. This freedom, combined with the island’s strategic position and strong oversight and support from France and the Netherlands, makes Sint Maarten a great place to invest.While there are political challenges, they are solvable, and the island’s democratic, free-market system ensures it will continue to thrive. Sint Maarten is a secure, promising destination for investment and tourism.
