Anticipating a faster recovery of the Indian economy than its global peers, London-based global reinsurance giant Lloyd’s has decided to return to India after withdrawing from the country almost two years ago. Speaking exclusively to FE, Lord Peter Levene, Lloyd’s chairman, confirmed the development.

“We are preparing to set up our operations in India. We are waiting for the law to change to facilitate our operations in the country,” Levene said. Lloyd’s is the world’s leading insurance market, roviding specialist insurance services to businesses in over 200-odd countries and territories.

On why the company had withdrawn from the Indian market hastily within a few months after opening a representative office, Levene said, “We were not allowed to operate in India. Our way of doing business is very different from that of other global reinsurers. We were expecting the law to change fast so that we could have commenced our operations at that time.”

Levene also mentioned that Lloyd’s is sending its representatives to India to meet the government officials to discuss the latest developments in the Indian insurance sector, including the fate of the amendments in Insurance Act that is yet to be passed by Parliament after being introduced in the Rajya Sabha by the UPA government in its last tenure.

The Act, along with other issues, has proposed to raise FDI in the insurance sector from the current 26% to 49%, allowing reinsurers to open branch offices in India and allow Lloyd’s to set up operations in the country.

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