Swiss Re To Take Advantage Of Opening Of Brazilian Reinsurance Market

by Philip Morton, Investors Offshore.com

20 February 2008

Following the opening of the Brazilian reinsurance market, Swiss Re announced on Tuesday that it will become an admitted reinsurer in the country, with a representative office in São Paulo.

Beat Strebel, Swiss Re’s Head of Latin America, explained that:

“Swiss Re welcomes the opening of the Brazilian reinsurance market. We have more than 50 years of business relationships in Brazil and have maintained an office in the country for 12 years. We have a strong commitment to serve our Brazilian clients with the best solutions and products.”

As an admitted reinsurer, Swiss Re will benefit from greater flexibility, and will be able to offer its wide range of reinsurance products and financial services solutions in Brazil.

"As a global expert on managing capital and risk, Swiss Re strives to add value to our clients' business by helping them manage their capital base in the most efficient way," added Strebel. "The benefits of our world-wide experience will now also be available to the Brazilian market."

In late December 2007, the Brazilian finance ministry published new reinsurance regulations and announced that the market would open in mid-April 2008.

The new regulations allow three forms of market participation, namely:

• Local reinsurers, as classified by Brazilian law, are incorporated in Brazil and dedicated solely to reinsurance;
• Admitted reinsurers are incorporated outside Brazil with representative offices in the country;
• Occasional reinsurers are incorporated outside Brazil without local offices.

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