IRDAI to meet to accord approval to foreign re-insurers

KOLKATA: Insurance regulator Insurance Regulatory and Development Authority of India (IRDAI) board is likely to meet on June 30 to accord final approval (R2) to some foreign reinsurers to set up branches in India.

"The board is likely to meet on June 30 and final approval of reinsurance applicants is one of the agenda of the meeting," IRDAI sources told PTI.

The regulator has received six applications by foreign reinsurance majors for permit of direct business.

Sources indicated that up to three reinsurers could get the final approval in this round.

Germany's Munich Re and Hannover Re, Swiss Re from Switzerland, SCOR of France, and the UK-based Lloyd's are looking to foray into Indian market.

IRDAI said 10 per cent of business has to be ceded to GIC.

The sources expected that early next year a number of foreign reinsurers would be able start operations.