Hiscox joins Lloyd’s Brazil reinsurance platform
Hiscox has become the latest insurer to join the Lloyd’s Brazil reinsurance platform. It joins ten existing businesses that already use the platform.
Lloyd’s became the first international reinsurer to receive authorisation to operate in Brazil following reforms to the market in 2008. It has since grown into the second largest reinsurer in the country with a market share of 12%.
Lloyd’s Brazil’s structure mirrors the unique market structure of Lloyd’s in London. Currently, ten managing agents have co-located liaison offices in the country. These are: ACE, ANV, Argo, Beazley, Catlin, Kiln, Liberty, Markel, Navigators, Starr and now Hiscox.
Lloyd’s has reaped the benefits of being onshore in Brazil. The ten managing agents with offices in Brazil have grown faster than those without. They have enjoyed a 112 percent average growth per year compared with a Lloyd’s market overall average of 21 percent from 2008 to 2012.
Hiscox’s move was announced during a visit to Brazil by the UK’s Chancellor of the Exchequer, George Osborne MP.
Osborne said: “This is excellent news for Lloyd’s, as it provides additional capacity for growth in Brazil, and for Hiscox. It also demonstrates the dynamism of the UK insurance industry and its ability to meet the needs of new markets. It is another example of a British firm taking the lead in the global race.”
Lloyd’s Director of International Markets, Vincent Vandendael, said: “It’s an honour to welcome the Chancellor to Lloyd’s Brazil office. Today's announcement is another positive development for Lloyd's in Brazil, and is a great example of how Lloyd’s expertise is recognised around the globe. This is a welcome step as we continue to make progress towards realising our international growth strategy, Vision 2025."
