Foreign reinsurers garnered over Rs. 6,200-cr premium in 2017-18: IRDAI

Foreign reinsurance companies have generated Rs 6,216 crore premium in 2017-18.

During the year 2017-18, foreign reinsurance branches infused assigned capital of Rs 1,452.54 crore, IRDAI said.

Swiss Re has the largest share of Rs 2,047 crore, while Munich based Munich Re and Paris-based SCOR SE have reported Rs 1,307 crore and Rs 1,186 crore of premium, respectively.

Foreign reinsurers had recently asked the IRDAI to scrap the practice of giving first preference to public sector GIC Re for any reinsurance contract.

Three out of nine foreign reinsurance branches in India have already reported profit after tax, while the remaining six have reported loss in 2017-18.

Swiss Re has reported a profit after tax of Rs 60.96 crore, while Axa France and Lloyd’s have reported a profit after tax of Rs 7.67 crore and Rs 1.69 crore, respectively. Overall, total losses of all nine foreign reinsurance branches were Rs 323.03 crore.

As many as ten global players including Hannover Re, RGA, Warren Buffet-owned Gen Re and Catlin have set up their branch operations in the country, in the wake of numerous regulatory changes in the recent past.

The latest player to enter the Indian reinsurance market is Allianz, which has got a licence through its arm Allianz Global Corporate & Specialty (AGCS).

FM Re (Factory Mutual Reinsurance) of the US has applied for a license to set up its operations in the country.

Meanwhile, MS Amlin, the first Lloyd’s syndicate which had set up its operation at Lloyd’s India platform in India, has exited it. The company’s exit from the Indian market is part of restructuring of its global operations focusing on cost and synergy, said a source.