Lloyd's has announced it received a license from Chinese regulators to begin operations for its new reinsurance company in Shanghai, Lloyd's Reinsurance Company China Limited (LRCCL).
In its statement yesterday, Lloyd's said the license 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 Chinese reinsurance market.
The office's opening ceremony, which will be hosted by Lloyd's Chairman Peter Levene, will be held April 16 in Shanghai.
"Today marks a major milestone in Lloyd's global development," said Lord Levene. "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."
Ian Faragher, chairman of LRCCL, said the new operation 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."
He added, "Our presence in Shanghai means we can play a significant role in the development of the city as a world-class financial center. 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."
Lloyd's said it expects its market "A" ratings to apply to the LRCCL.
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