Foreign reinsurance branches (FRBs)

What is a foreign reinsurance branch?

A foreign reinsurance branch (FRB) is a branch office in India of a reinsurance company incorporated abroad, registered with IRDAI to carry on reinsurance business exclusively. It lets a global reinsurer such as Munich Re or Swiss Re accept Indian business onshore, with capital, staff and underwriting in India, instead of only from overseas as a cross-border reinsurer. Lloyd's of London operates through a similar route, called Lloyd's India.

FRBs sit between GIC Re and other Indian reinsurers on one side and offshore reinsurers on the other. They are regulated by IRDAI like Indian reinsurers, and the order of preference treats them more favourably than reinsurers based abroad.

How FRBs work in India

The legal route

Foreign reinsurers were allowed to open branches by the Insurance Laws (Amendment) Act, 2015. IRDAI issued branch regulations in 2015 and Lloyd's India regulations in 2016, which have since been replaced by the IRDAI (Registration and Operations of Foreign Reinsurers Branches and Lloyd's India) Regulations, 2024. The Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025 moved the definition into Section 2C of the Insurance Act and states that a foreign company may carry on no class of insurance business in India other than reinsurance.

Key requirements as of October 2026

The notes on clauses to the 2025 Bill say the cut in net owned funds is meant "to encourage more foreign re-insurers to open branches in India".

Who operates in India

As of October 2026, IRDAI's list shows nine FRBs and Lloyd's India:

IRDAI also registers Lloyd's India service companies, such as Markel Services India. Separately, reinsurers can operate from GIFT City through IFSC insurance offices regulated by IFSCA.

FRBs vs other reinsurers

What FRBs mean for distribution

• More onshore capacity. FRBs add capacity for large property, engineering, energy, aviation and life risks without the collateral and cession limits that apply to cross-border placements. This tends to make large placements smoother for brokers.
• Specialist knowledge. Several FRBs focus on particular lines, for example life and health reinsurance or engineered property risk. Their underwriting guidelines often influence insurers' product design, such as term insurance underwriting limits or protection features.
• Direct access to parents is limited. Cedants can approach the overseas parent of an FRB directly only for specified large risks or special lines. Brokers should plan placements through the branch in most cases.
• Expect new entrants. With the net owned fund requirement now ₹1,000 crore, more foreign reinsurers may open Indian branches. That could increase competition for treaty and facultative business, a development commercial lines teams should follow at each 1 April renewal.