Lockton, the world’s largest independent insurance brokerage, had announced its entry into the Indian market in January this year and had acquired Arihant Insurance Brokers in June from Arihant Capital Market Ltd.
Hyderabad: US based Lockton is now a licensed insurance broker in India after its acquisition of an existing broking company – by Arihant Insurance Broking Company-has been approved by the Indian insurance regulator IRDAI.
Lockton is the first overseas re/ insurance broker that has set up business in India after the government had allowed 100 per cent FDI in insurance intermediary sector.
Sandeep Dadia, CEO & Country Head, Lockton India, “We are excited to receive the approval at a time when there is a significant demand for robust risk management solutions. Our team is dedicated to offering unparalleled technical expertise while building long-term, strategic partnerships with our clients. As we establish this new venture, backed by Lockton’s global resources, we are committed to making a positive impact in the Indian insurance sector.”
Lockton, the world’s largest independent insurance brokerage, had announced its entry into the Indian market in January this year and had acquired Arihant Insurance Brokers in June from Arihant Capital Market Ltd.
Lockton will be applying for a reinsurance license to become a composite re/insurance broker in India afterwards.
Another US company-Brown and Brown Insurance Brokers seems to have shown interest in entering Indian market and looking for manpower to start with. However, it is yet to make an official announcement about its India plans.
Though, earlier, there were talks of international brokers like Guy Carpenter, the reinsurance broking arm of Marsh, Gallagher who are already present in the country, taking over some Indian insurance broker, nothing have been finalised yet, said sources.
With over 135 offices worldwide, Lockton is expanding its footprint to meet India’s growing demand for risk consulting and management services and has preferred to acquire another existing insurance broking company than applying for fresh licenses.
As the world’s largest independent insurance brokerage, Lockton in India will leverage its unique expertise and global capabilities alongside local knowledge, the company had said at the time of entering Indian market.
The company currently has offices in 140 locations around the world and works with more than 65,000 clients. The insurance broker offers marine insurance, property insurance, cyber cover and health insurance.
India currently has almost half a dozen of international re/insurance broker like Marsh, Howden, Aon, Gallagher and UIB Insurance Brokers and over 700 registered Indian players.
Though, the insurance broking industry transacts almost over Rs 45,000 crore of business annually, 90 per cent of business is concentrated with top 10 players.