MUMBAI: Lloyd’s, the specialist insurance and reinsurance market, hopes to start its India operations by the beginning of 2017, chairman John Nelson said on Thursday.
In a reinsurance market members join together as syndicates to insure risks.
Lloyd’s, which had a business of about $160-170 million from India last year through its offshore centres, sees huge opportunities to grow in India and applied for a licence to set up office in India in April.
In March, insurance regulator IRDAI issued rules that would enable Lloyd’s to set up office in India. The regulations among other things state that Lloyd’s being a market, and its constituents would need to be housed within an office location of Lloyd’s India for the reinsurance business.
Setting up an onshore office will provide Indian reinsurance brokers with local access to Lloyd’s underwriting expertise and solutions.
Currently state-owned GIC-Re is the only reinsurance player in India. Apart from Lloyd’s, Swiss Re, Munich Re, Hannover Re and Score have also applied for licences to set up shop in India.
“We operate in 200 countries. We have a few gaps, and one of the biggest gaps was India. We have gradually been filling the gaps… I think we will open in India beginning of next year,” said Nelson.
Lloyd’s has appointed Shankar Garigiparthy as country manager, India.
The company focuses on specialist areas such as catastrophe risk, off-shore energy, terrorism and cyber risks among others.
In India, there will also be underwriting opportunities in nuclear energy and renewable energy, which are in focus.