Mitsui in deal with ICEA Lion
2 months ago, 8 July 19:00
Japanese reinsurance firm Mitsui Sumitomo Insurance (MSI) has announced a deal to provide reinsurance capacity for ICEA Lion General Insurance Company as it seeks to tap regional deals.
MSI said through the pact with its subsidiary, MSI Company (Europe) (MSIEU)CEA, ICEA Lion and Mozambican International Commercial and Engineering Seguros will serve as local carriers for MSI’s Japanese customers in the East and Southeast Africa region.
They will issue local policies, respond to accidents and offer risk management services.
“In return, MSIEU will support the underwritten risks by providing reinsurance capacity, underwriting expertise, and assistance in communications with customers,” the Japanese firms said in a statement.
The firm said the arrangement will allow MSI to enhance its services to customers in East and Southeast Africa, where Japanese investment has been particularly active, supported by its government’s commitments in the region.
“The alliance recognises the enormous economic growth potential of the African continent, with its combination of high population growth, abundant natural resources, and relatively low insurance penetration,” it said.
“In particular, East and Southeast Africa are expected to see considerable growth as suppliers of oil, natural gas and mineral resources, as well as promising consumer markets in terms of agricultural innovation and IT and communication development.”
MSI becomes the latest global re-insurer to eye Kenya. There are three locally incorporated reinsurers including Kenya Reinsurance Corporation, East Africa Reinsurance Company and Continental Reinsurance. There are also two regional reinsurers including Africa Reinsurance Corporation and PTA Reinsurance (Zep Re).
Last August, French-headquartered global reinsurance SCOR received regulatory approval to open a Nairobi office.
MSI established a research office in Johannesburg, South Africa in 2015.
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