Global reinsurer Hannover Re today said it has received the approval (R3) to establish a branch in the country from the Insurance Regulatory and Development Authority of India (IRDAI).
With this licence, the company can commence business operations in both property and casualty as well as life and health reinsurance, a company statement said.
"We are glad to receive the final stage of licence. Our commitment to the market is established through this branch licence," Hannover Re's India branch chief executive GLN Sarma said.
The registered office of the branch will be in Mumbai.
Hannover Re, with gross premium of around EUR 17 billion, is the third-largest reinsurer in the world. It transacts all lines of property and casualty and life and health reinsurance and is present on all continents with around 2,500 staff.
IRDAI had approved the R3 application and granted certificate of registration to five global reinsurers on December 23 to set up their branches in the country.
These five global reinsurers who were granted final approval included US-based reinsurer Reinsurance Group of America (RGA), Munich Re and Hannover Re, Swiss Re from Switzerland and French reinsurance major SCOR.
As of now, state-owned GIC Re is the country's sole reinsurance company. The reinsurance market in the country is estimated to be at around USD 2.5 billion.
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