HANNOVER, Germany, Nov. 10, 2006 (PRIMEZONE) -- Hannover Re has received a licence from the China Insurance Regulatory Commission (CIRC) to transact life and health reinsurance in the People's Republic of China.
"We are delighted by the CIRC's decision," Dr. Wolf S. Becke, the member of the Executive Board responsible for life and health reinsurance, commented. "The licence will enable us to optimally position ourselves in the vigorously expanding Chinese life and health reinsurance market and intensify the existing support that we have been providing for our clients through a representative office since 1997. We now have the ability to offer our cedants tailored reinsurance solutions in the life, health and personal accident lines and to share in the extraordinary growth potential of this market."
With gross premium volume of USD61 billion in 2005 (thereof USD45 billion in life and USD16 billion in non-life business) and strong growth rates, the Chinese insurance market is one of the most attractive in the world. Having ranked eleventh among major global insurance markets last year, forecasts suggest China could move up to as high as third by 2020. In addition to the rapidly rising level of insurance awareness and a marked propensity to save among the Chinese population coupled with a middle class that has ample purchasing power, China offers unparalleled growth prospects thanks to the demographic trend.
Hannover Re caters to the growing interest in protection products for retirement and surviving dependants through its life and health reinsurance business group, which operates worldwide under the proprietary brand name Hannover Life Re.
The establishment of a Shanghai branch now promises to enhance still further the positioning of this business group and will secure a highly promising portfolio as well as vigorous organic growth for Hannover Re.
Hannover Re, with a gross premium of approximately EUR10 billion, is one of the leading reinsurance groups in the world. It transacts all lines of property/casualty, life/health and financial reinsurance as well as specialty insurance. It maintains business relations with more than 5,000 insurance companies in about 150 countries. Its worldwide network consists of more than 100 subsidiaries, branch and representative offices in around 20 countries with a total staff of roughly 2,000. The rating agencies most relevant to the insurance industry have awarded Hannover Re very strong insurer financial strength ratings (Standard & Poor's AA- "Very Strong" and A.M. Best A "Excellent").
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