Lloyd's, the world's leading specialist insurance market, announced today that it has received the formal licence document from the Chinese regulators to begin operations for its new reinsurance company in Shanghai, Lloyd's Reinsurance Company China Limited (LRCCL).
The licence, approved by the China Insurance Regulatory Commission (CIRC), will enable Lloyd's to underwrite onshore reinsurance business throughout China. It will provide Chinese insurers with full access to the Lloyd’s market and give Lloyd's improved access to the rapidly developing Chinese reinsurance market.
The opening ceremony, which will be hosted by Lloyd’s Chairman Lord Levene, will be held on 16 April 2007 in Shanghai.
Lloyd's Chairman, Lord Levene, welcomed the approval saying:
"Today marks a major milestone in Lloyd's global development. We are an international market with a presence in over 200 countries. Lloyd's reinsurance operation in China will enable us to expand our global footprint and support one of the fastest growing economies in the world.
"Lloyd's has a long relationship with the Chinese insurance market and has supported Chinese insurers by providing offshore reinsurance capacity for over three decades. Our new operation will enable Lloyd’s underwriters to develop a stronger relationship with Chinese insurers and provide them with the additional capacity to support their rapid growth.
"I would like to express our sincere thanks to the CIRC for their professionalism and the timeliness of reviewing this application. I would also like to thank the UK government whose support throughout has been invaluable."
Chairman of LRCCL, Ian Faragher said:
"This is a major boost for Lloyd’s and allows the market to play a vital role in supporting China’s developing insurance and reinsurance market. Our presence in Shanghai means we can play a significant role in the development of the city as a world class financial centre. We look forward to bringing London's expertise in specialist underwriting to China and in the future, sharing with the China market our experience in electronic trading."
It is expected that Lloyd's market 'A' ratings will apply to LRCCL.
For further information, please contact:
Louise Shield
Tel: +44 (0)20 7327 5793 Fax: +44 (0)20 7327 5229 Email:
louise.shield@lloyds.com
Steve Farrance
Tel: +44 (0)20 7327 6096 Fax: +44 (0)20 7327 5229 Email:
steve.farrance@lloyds.com
For urgent out of hours media calls Tel: +44 (0)7659 597 825
Find out more about Lloyd's
Lloyd's is the world's leading specialist insurance market and expects to have the capacity to write approximately £16bn of business in 2007. It occupies sixth place in terms of global reinsurance premium income, and is the second largest surplus lines insurer in the US. In 2007, 64 syndicates are underwriting insurance at Lloyd's, covering all classes of business from more than 200 countries and territories worldwide.
Lloyd's is regulated by the Financial Service Authority.
