NU Online News Service, Oct. 13, 1:55 p.m.EDT

Hannover Re announced it has received approval to open a branchin Shanghai for non-life reinsurance as it expands operations inChina.

The Hannover, Germany-based firm said early this month, theChina Insurance Regulatory Commission (CIRC) issued the company anappropriate license.

Since May 2008 the company has had a branch there writingChinese life and health reinsurance business. Going forward, bothbusiness groups will be transacted directly from Shanghai, saidHannover Re.

The business written to date by Hannover Re in China encompassesobligatory and facultative non-life reinsurance across all lines aswell as life reinsurance, the company said.

"This stronger presence will enable our clients to access allservices from a concentrated source," Hannover Re Chief ExecutiveOfficer Ulrich Wallin said in a statement.

He added that it also gives the company "an optimal platform forfurther extending our position in China." Hannover Re noted thatChina is one of Asia's largest insurance markets, and it expects togrow its premium volume there in the years ahead.

Michael Huang, the general manager of both branches, has beenwith the company for a number of years in Shanghai. He hasexperience in the insurance industry and a knowledge of the Chinesemarket, the company said.