IRDAI Awards First Private Reinsurance License to Valueattics Reinsurance.
Banking & Finance
On March 12, 2025, the Insurance Regulatory and Development Authority of India (IRDAI) granted the 'R2' reinsurance license to Bengaluru-based Value Attics Reinsurance Limited, making it the first private-sector reinsurer in India.
- The approval was given during the 129th meeting of the IRDAI board, which was chaired by Debasish Panda.
- The 'R2' category license signifies that Value Attics Reinsurance is authorized to exclusively conduct reinsurance business in India, marking a significant development in the country's insurance sector.
- Value Attics Reinsurance is promoted by Oben Ventures LLP, led by Kamesh Goyal, and Mauritius-based FAL Corporation, associated with Prem Watsa, the CEO of Canada-based Fairfax Financial Holdings Limited. The company will begin operations with a paid-up capital of Rs. 210 crore.
Main Point :- (i) Before this approval, General Insurance Corporation of India (GIC Re), a public-sector company based in Mumbai, was the sole domestic reinsurer in India since 1972. GIC Re became the national reinsurer post-2001 insurance sector liberalization.
(ii) In the same meeting, IRDAI designated Life Insurance Corporation of India (LIC), New India Assurance Company, and GIC Re as Domestic Systemically Important Insurers (D-SIIs) for the financial year 2024-25, recognizing their critical importance in the Indian insurance sector.
(iii) India currently hosts 13 foreign reinsurance branches, including global players like Munich Re, Swiss Re, and Lloyd's of London, contributing to the diversity and competition within the Indian reinsurance market.
About Insurance Regulatory and Development Authority of India (IRDAI)
Chairperson : Debasish Panda
Headquarters : Hyderabad, Telangana
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