Peak Reinsurance Company Ltd., a top 50 global reinsurance firm from Hong Kong, has been granted approval to set up a subsidiary, Peak Reinsurance AG, by the Swiss Financial Market Supervisory Authority (FINMA).
Peak Re AG, which will be the firm’s main underwriting hub in continental Europe, will be based in Zurich and has been licensed to accept reinsurance business from 1 January 2017. The unit will focus on delivering multi-line and long-term reinsurance solutions to clients in European markets
Franz-Josef Hahn, Executive Chairman of Peak Re AG, commented; “This is a major milestone for Peak Re, as Europe is an important market for us. In order to enhance our proximity and offerings to our European clients, we have started to expand our footprint in this market by setting up an office in Zurich in September 2015. With the new Peak Re AG, we further emphasize our commitment to our clients in Europe.”
Jacques Burri, currently Head of Europe for Peak Re, will become Chief Executive Officer of Peak Re AG. Franz-Josef Hahn, Chief Executive Officer of Peak Re will become the Executive Chairman of the new Zurich subsidiary. Cathy Chen, Chief Financial Officer of Peak Re will also join the board as executive director, and Dr. Ulrich Fricker, who was Chairman of the Board of Management of the Swiss National Accident Insurance Fund until 2015, will be an independent non-executive director at Peak Re AG.
Jacques Burri, CEO of Peak Re AG, commented; “We are very excited about the opportunities that a fully licensed Zurich based subsidiary will provide to Peak Re’s expansion in Europe. By combining our presence in Zurich with our Hong Kong based operations, we are able to maintain a single underwriting platform, which will provide our clients with a service offering that is fully compliant with European regulation, while delivering Peak Re’s values of strong client focus and prompt claims settlement.”
Peak Re AG has been capitalised based on the Swiss Solvency Test and will begin operations with a 200% solvency ratio. As a result, the reinsurance subsidiary will have full Solvency II equivalence. Capital and support comes from parent Peak Re in Hong Kong.