Insurer looks to capitalise on the country’s expected growth
Swiss Re has become the latest reinsurer to receive a licence by the Indian regulator, allowing it to offer both non-life and life and health reinsurance solutions directly to clients and brokers.
The newly licensed entity, Swiss Reinsurance Company, India Branch, will begin operations on 1 February from a new branch in Mumbai.
Swiss Re is among the first group of foreign reinsurance companies to obtain a final license from the Insurance Regulatory and Development Authority of India.
Germany’s Munich Re and Hannover Re, France’s Scor and the locally incorporated ITI Reinsurance, which is part of the Fortune Financial Services group, have all set up shop. The regulator had earlier given final approval to Reinsurance Group of America (RGA), which specialises in the life and health sector.
Lloyd’s of London and Berkshire Hathaway have also completed the first stages of their applications, while XL Reinsurance has reportedly received an in-principle nod.
The foreign reinsurers will be looking to capitalise on the country’s expected growth in insurance, which Swiss Re estimates at an average of 8% per year from 2017-2025.
Swiss Re chief executive reinsurance Asia Jayne Plunkett said: “This is a significant milestone for us. As a reinsurer, Swiss Re has served Indian insurers for over 87 years. Our new India branch, together with Swiss Re Global Business Solutions centered in Bangalore, represent our commitment and investment in India’s long term future, and our ambition to be part of this dynamic high growth market.”
Kalpana Sampat, currently managing director of Swiss Re Services India Private, will head the Swiss Re India branch as its chief executive.
She said: “India is a high growth market for Swiss Re and we are committed to the healthy and sustainable growth of the insurance market here. With Swiss Re’s global experience, strong financial ratings, large net capacity, deep insight and proven underwriting knowledge, we have a strong value proposition for India and will generate significant value to our clients and partners in the market.”
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