Swiss Reinsurance, the world's second largest reinsurer, has been granted permission to open a reinsurance branch within a year. This would make Swiss Re, along with Munich Re, the first foreign reinsurers in China, said South China Morning Post.
Swiss Re said it would open a wholly owned branch in Shanghai or Beijing to offer nationwide reinsurance services for direct insurers on both general and life insurance risks. Currently, China's 19 domestic insurers must sell 20 per cent of their policies to China Reinsurance. This requirement is due to be removed within five years.