Tokio Marine Group announced that it is seeking regulatory approval to establish an insurance company in Luxembourg, to be prepared for Brexit.
Through several of its subsidiaries, principally Tokio Marine HCC and Tokio Marine Kiln, the group has been active in the European Economic Area (EEA) for decades, the company said.
This new insurance company will ensure that regardless of the potential outcome of the current Brexit negotiations, Tokio Marine will be able to continue servicing its clients in the EEA and offer a smooth transition.
Subject to regulatory approval, Tokio Marine is aiming to have the new insurance company incorporated and capitalized within the first half of 2018. The new company will have branches across Europe, and will be supported by the existing UK and EU group operations.
The company intends to write all business classes that are currently offered by Tokio Marine in Europe.
“Luxembourg is at the center of Europe and hosts some of its most important institutions. The country is focused on supporting the financial service industry and its regulator has an experienced, robust and pragmatic approach,” said Barry Cook, CEO of Tokio Marine HCC International Holding.
“Post-Brexit, Luxembourg is likely to become an important market place for property and casualty insurance in Europe and we are looking forward to contributing to that new development,” he added.
“Luxembourg is an excellent base for us and we are excited about the opportunities this new company presents. Most importantly, this decision ensures it will be business as usual for our customers when the UK leaves the EU, providing them with a stable, long term solution,” affirmed Charles Franks, CEO of Tokio Marine Kiln.
“The new company will complement our Lloyd’s platform operation in the EU which will be written through the Lloyd’s European subsidiary in Brussels. Access to these two platforms will allow us to maintain our commitment to our clients and our innovative approach to product development in Europe,” Franks continued.
Source: Tokio Marine Group