AXA Re has been granted a license to open a branch in India, it has been reported.
The international firm will join a host of others that have entered India in recent months, as the insurance market in the country looks set to sky-rocket.
The reinsurer has received the second level of regulatory clearance from the Insurance Regulatory and Development Authority (IRDAI) and has been granted an R2 license.
AXA’s insurance arm already has a presence in the country as it is part of two joint ventures with Bharti-Bharti AXA Life and Bharti AXA General Insurance.
“India is a matter of high priority for AXA Re,” a company source said, according to The Financial Express. “We are impressed with the country’s economic development and policy thrust of the NDA government and would like to expand our existing business in the country.
“We know the government is trying to develop India as a global reinsurance hub and we would like to be a catalyst in this government effort.”
The firm aims to secure its final round of regulatory clearance, or R3, and begin underwriting in the country by July as the firm already has Indian exposure as part of an offshore business.
The firm’s existing portfolio, which is mainly focused on life and health, is valued at US$100 million to US$150 million. The publication reports that Ankur Nijhawan will lead the firm’s operations, with 15 other staff members set to join the business upon its launch.
AXA Re is the latest international firm to make an entrance in the Indian market, following
Munich Re,
Swiss Re, Lloyd’s and others who have recently entered the fray.
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