Premier Ewart Brown yesterday rammed home the message that Bermuda is not a tax haven to an audience of mainly Latin American insurance professionals.

Giving the opening remarks at the ALARYS Congress at the Fairmont Southampton hotel, Dr. Brown said proposed US legislation aimed at increasing taxes on foreign reinsurers would backfire by resulting in increased insurance bills for consumers.

Finance Minister Paula Cox followed the Premier's comments by saying that Bermuda should be regarded by international business as a "safe haven" rather than a tax haven.

Their strong message comes as Bermuda faces a growing challenge for international insurance business from rival jurisdictions. Earlier this month, Bermuda-based global re/insurer Allied World Assurance Company Holdings Ltd., announced its board had voted to change its domicile to Switzerland.

Dozens of delegates from 17 countries were attending the trilingual conference of ALARYS, the Latin American Risk Managers Association, on the second occasion it has been hosted by the Island.

"Bermuda's reinsurance industry has provided benefits to individuals and countries around the world," Dr. Brown said. "Yet we must remain vigilant in combating the erroneous notion that Bermuda is a tax haven.

"In establishing an office in Washington, DC, we maintain constant contact with the players on Capitol Hill making the case that the benefits Bermuda provides to America and their people far outweighs the revenue they would generate from instituting changes to their tax code.

"We further delivered the message that a substantial percentage of the insurers providing coverage for the recent Gulf oil disaster were based in Bermuda and that proposed legislative changes could substantially raise US consumers' insurance bills."

The Premier added that US Attorney General Eric Holder, in response last month to a question posed by a reporter from The Royal Gazette, said he did not consider Bermuda a tax haven.

Last week, the Island had signed its 23rd tax information exchange agreement with India, he added, and was now "among the most reputable financial services centres in the world when it comes to the exchange of tax information".

Dr. Brown expressed gratitude for the congress organisers for bringing the event back to Bermuda six years after it was first staged here.

Ms Cox then spoke and also beat the drum for Bermuda. "Bermuda wants to be your safe haven," she said.

Ms Cox, the Deputy Premier and regarded as the favourite to succeed Dr. Brown as Premier after he steps down at the end of this month, added that "offshore financial centres play a key role in the financial system" and helped to support global investment and job growth.

Government was "activist in encouraging foreign investment and growth of international business" as a vehicle for improving the life of the Island's community.

The fact that the Island had come through the first phase of the Organisation for Economic Cooperation and Development's Peer Review Group report and was found to have all elements in place to meet international tax transparency standards reflected Bermuda's "long-standing commitment for not only meeting international standards but exceeding them", Ms Cox added.

The Minister also mentioned the Bermuda Monetary Authority's drive to achieve regulatory equivalence with the imminent Solvency II insurance regulations coming soon in the European Union, to ensure that Bermuda companies doing business in the EU were not competitively disadvantaged.