Despite Brexit, Swiss Re remains committed to its UK business. Since the Brexit referendum in 2016, Swiss Re has conducted extensive scenario planning and prepared for a range of outcomes. Despite the current uncertainties associated with the UK leaving the EU, Swiss Re continues to monitor developments to ensure it will be able to maintain uninterrupted services and relationships with our clients, our employees and the re/insurance industry irrespective of the outcome of the current negotiations.
Swiss Re operates in the UK mainly through the UK-branches of its Luxembourg entities – such as Swiss Re Europe S.A. (SRE for Reinsurance), Swiss Re International SE (SRI for Corporate Solutions) and iptiQ Life S.A. (for iptiQ). In preparation for Brexit, these branches have applied for licenses from the UK regulators to become authorised to continue operations in the UK after the UK leaves the EU.
From 1 January 2021, the UK branches of Swiss Re will benefit from the Temporary Permission Regime, which allows UK branches of SRE, SRI and iptiQ to carry on insurance business in the UK until the licenses are granted. As the UK branches are themselves establishments of Luxembourg-based entities, clients with business currently serviced from a UK-located branch may have to be serviced from an European Economic Area (EEA) branch of the same Luxembourg entity in future. This however, shouldn't have any adverse impact on our ability to service our clients and customers or lead to significant changes to our businesses in the UK. Specifically, SRI will allocate UK/ Rest of the World and European business presented to it between its UK and EEA branches, to ensure that exposures in the EEA (EU plus Norway, Liechtenstein, Iceland) are covered by one of SRI's several branches in the EEA. SRI will not require composite UK/ EEA risks to be placed on "split slips"; rather, SRI will "dual stamp" such risks to allow the UK/ Rest of the World exposures to be covered by SRI UK branch, and the EEA exposures, by SRI branches in the EU.
In addition, many of our European clients trade Insurance Linked Securities (ILS) and certain weather derivative products with our London-based carrier Swiss Re Capital Markets Limited. This carrier is domiciled in the UK and is regulated by the Financial Conduct Authority. Swiss Re has formed a new Luxemburg-based legal entity, Swiss Re Capital Markets Europe S.A. (SRCME) and received authorisation from relevant regulators to trade with EEA based clients, ensuring a seamless post-Brexit continuation for the related business relationships.
If you would like to know even more about Swiss Re's preparedness regarding Brexit, please get in touch with us:
- For client enquiries please contact your relevant client manager.
- For media enquiries please contact [email protected]
- For investor enquiries please contact [email protected]
We continuously monitor the situation and as soon as we have more updates, we will inform our clients and other relevant stakeholders.