Korean Re (CEO, Jong-Gyu Won) has completed the establishment of a branch office in Shanghai as the company received final approval from the authorities of the People’s Republic of China on December 27, 2019.
The new office in Shanghai will be Korean Re’s second representation in China, after Beijing liaison office, which was established in 1997. While the office in Beijing has carried out market research and support functions, the upcoming one in Shanghai will be the center for real business activities in the country.
In fact, Korean Re has continuously worked on to set up an operation in this city as part of its strategic initiative to strengthen presence in China to capitalize on the country’s rapidly growing insurance market.
China as the world’s second-largest insurance market as well as the biggest one in the Asia Pacific region has plenty of opportunities for further growth. In 2018, it generated USD 570 billion in gross written premiums, up 3.92% year on year, accounting for 11.6% of the total global production.
Currently, leading reinsurers such as Hannover Re, RGA, and Gen Re and many of insurers from across the world have their local vehicles in Shanghai, the financial hub of China. Korean Re is expecting that the operation in Shanghai will bring increased access to the country’s vast pool of quality contracts.
Counting in the new office in Shanghai, Korean Re will have a total of 11 offshore representations around the globe - 4 branches, 3 legal vehicles, and 4 liaison offices. CEO Mr. Jong-Gyu Won explained, “Shanghai branch will help us build a robust foundation for stronger presence in this giant market of China.”
“Going global” has been one of the key priorities for the CEO since he took office in 2013. After the successful launch of a legal entity at Lloyd’s in the UK (2015), a branch office in Labuan, Malaysia (2017), a branch in Dubai (2018), a legal entity in Zurich (2019), Korean Re is now preparing to set up a liaison office in Bogota, Columbia to expand into Latin America and the Caribbean region aiming to open in 2020.