Cayman Islands

The Cayman Islands are located in the Caribbean Sea approximately half way between Cuba and Honduras. The capital of George Town is situated on the largest of the three islands, Grand Cayman. A overseas territory of the United Kingdom, the Cayman Islands follow English common law but comprise a separate jurisdiction with separate laws from the UK. The Head of State is the Queen of England, who appoints a Governor to preside over the government. There is a parliament with both elected and officially appointed members. The Senior Minister is the Leader of Government Business. There is a unicameral legislature. English is spoken.

The economy depends heavily on tourism, offshore financial services and investment in local real estate. The unit of currency is the Cayman Islands dollar, and the Caymanians enjoy one of the highest standards of living in the world. About 90% of the island's food and consumer goods must be imported, mostly from the United States, the United Kingdom, and countries in the region. The Cayman Islands Shipping Registry (CISR) is the Maritime Administration of the Cayman Islands. The Registry operates as an integrated unit, having the registration, safety and administrative sections of the Administration under one umbrella, thus enhancing efficiency and response time.

The governing merchant shipping law of the Cayman Islands is primarily based on the corresponding English maritime law of the United Kingdom (UK), suitably adjusted where necessary to accommodate issues unique to the Cayman Islands. In this regard, there are several innovative provisions in the updated Merchant Shipping Law designed to widen the scope of persons and other legal entities eligible to register ships under the Cayman Islands flag. Regarding safety provisions, the CISR generally applies international Convention standards. Features introduced in the 1999 amendments to the Merchant Shipping Law include the following:

  • Ships under construction and mortgages thereon can be registered.
  • Mortgages on provisionally registered or conditionally registered ships can be registered.
  • Fractional shares can be registered where the ship is owned by a shipping entity that does not have a separate and distinct legal personality.
  • Enhanced mortgagee protection is afforded.

 

The Port of Registry for Cayman Islands ships is George Town. A Cayman Islands ship may fly the UK Red Ensign as its national colors, or may wear the Cayman Islands Red Ensign, which consists of the UK Red Ensign with the Cayman Islands crest in the fly.

The Cayman Islands enjoy a rich seafaring heritage. The Cayman Islands Shipping Registry (CISR) is part of the Red Ensign Group of Category One British registries comprising: Bermuda, Cayman Islands, Gibraltar, Isle of Man and the UK. As a Category One British Registry (granted in 1991), the Cayman Islands are able to register vessels of all sizes and classes, from small yachts to super tankers. However, as a matter of policy, fishing vessels are not currently being registered except those owned locally and operating in Cayman waters.