Hydearbad:
The IRDA has granted approvals to nine more cross boarder reinsurers(CBR) with whom the Indian insurers can do business in 2020-21.
“On the basis of the submissions made by CBR and recommendations of the insurers, the IRDAI has granted approval to the below mentioned CBR’s , who do not fulfil stipulated eligibility criteria.Reinsurance placements by an insurer to these CBR’s shall not exceed two percent of the total reinsurance premium ceded outside India, said IRDAI on Wednesday.
Some of the re/insurance companies which have been allowed to accept Indian business include Insurance Company of GAZ Industry (SOGAZ) from Russia, GIC-Bhutan Reinsurance Co. Ltd, Kenya Reinsurance Corporation,Kenya, Sompo Sigorta A.S,Turkey, CICA Re from Kenya, Bao Viet Insurance Corporation from Vietnam.
The normal eligibility criteria for CBR to be allowed by the IRDAI are -double taxation arrangement,registration with the local regulator and maintainance of solvency ratio, said IRDAI sources.
However the all these nine reinsurers don't fulfill some of these criteria but have been allowed as the Indian insurers want to deal with these reinsurers,added the sources.