Value Attics Reinsurance: A New Era Begins

In a landmark decision, Value Attics Reinsurance has been granted a reinsurance license by the Indian insurance regulator, Irdai. This pivotal move ends the five-decade-long monopoly held by the public-sector reinsurer, GIC Re. The approval was finalized during Irdai’s board meeting, marking a significant shift in India's insurance landscape.

Backed by Visionary Investors

Value Attics is supported by the renowned Canadian investor Prem Watsa’s Fairfax group and Kamlesh Goyal. With a strategic expansion into India's insurance sector, Watsa and Goyal have already launched Go Digit General and Life Insurance. However, Value Attics will operate independently from these direct insurance businesses, focusing solely on reinsurance.

Global Expertise Meets Local Opportunities

Starting with a paid-up capital of Rs 200 crore, Value Attics aims to leverage Watsa’s global reinsurance expertise to underwrite large risks. The promoters' substantial investments in Go Digit General Insurance and Go Digit Life Insurance highlight their commitment to the Indian market, with future investments expected to significantly increase.

Overcoming Challenges

Prior to establishing Value Attics, Watsa faced a setback with the rejection of his attempt to acquire ITI Reinsurance by Irdai. The regulator's concerns over the deal's compliance with Indian regulations underscored the complexities of the reinsurance market. Nonetheless, Value Attics' successful licensing reflects the evolving regulatory environment and the sector's alignment with global financial standards.