AXA XL, the property & casualty and specialty risk division of AXA, has revealed that its China subsidiary, XL Insurance (China) Company Limited has received the go-ahead from the country’s regulator to change its business license from an insurance license to reinsurance.
The green light from the China Banking and Insurance Regulatory Commission (CBIRC) makes the entity the first Shanghai-based reinsurance subsidiary and the first foreign-owned reinsurance subsidiary in China.
The new reinsurance legal entity will provide non-life reinsurance in China and will be known as XL Reinsurance (China) Company Limited (AXA XL Re China) after the registration process is complete. AXA XL Re China will have a strong S&P A+ financial strength rating.
Peter Schmidt, Chief Executive Emerging Markets and CUO Credit and Surety – Reinsurance, commented: “Being the first foreign-owned reinsurance subsidiary in China further demonstrates AXA XL’s commitment to the Chinese market. This move is in line with the Shanghai Government’s policy of establishing the Shanghai international reinsurance centre.”
Ann Chua, Head of Asia for AXA XL’s reinsurance operation, added: “In order to get closer to our clients and deepen our local insights, we have strengthened our in-country team. This, coupled with our international underwriting experience and strong balance sheet, means we can provide our clients and brokers with even greater value and services in this important and dynamic market.”
While Phil Xue, Head of Reinsurance and Country Manager for China, said: “We appreciate the continued support and trust from our cedants and brokers who have been working with us for many years. China is a key market for us, and we look forward to continuing these partnerships as an onshore reinsurer.”
