The branch will be situated in Shanghai which is rapidly becoming a centre for international underwriting and broking operation in the country, and will supplement the reinsurers existing operation.

Hannover has been underwriting Chinese life/health reinsurance business for 18 months from a branch in the city but the latestlicencewill enable the group to provide integrated solutions to cedents in the country.

In a statement to announce the approval the underwriter said; “Going forward, both business groups will now be transacted directly from Shanghai. At the beginning of October the China Insurance Regulatory Commission (CIRC) issued the company an appropriatelicence.”

"This stronger presence will enable our clients to access all services from a concentrated source", Chief Executive Officer Ulrich Wallin explained. "At the same time it gives us an optimal platform for further extending our position in China."

The company said China’s position as one of Asia's largest insurance markets made it a major centre for reinsures in the region and the expectation was “to grow its premium volume here in the years ahead”.

The General Manager of both branches will be Michael Huang, who has been with the company for a number of years based in Shanghai.

“He has long-standing experience in the insurance industry and a superb knowledge of the Chinese market,” said the reinsurer. “The business written to date by Hannover Re in China encompasses obligatory and facultative non-life reinsurance across all lines as well as life reinsurance.”