LONDON, March 27 (Reuters) - Lloyd’s of London, the world’s largest speciality insurance market, will this week pick Brussels or Luxembourg for its planned European Union subsidiary, after Dublin had been an early favourite, sources say.
Lloyd’s has been one of London’s most vocal financial services firms about the need for an EU subsidiary if Britain has no access to the single market after leaving the bloc.
It will announce its choice on Wednesday after its council meets, a Lloyd’s spokesman said, the same day British Prime Minister Theresa May triggers Article 50 of the EU’s Lisbon Treaty.
Below are some plans for EU subsidiaries proposed by insurers:
British motor insurer Admiral Group Plc said last year it could move its European business to Ireland or another country. It said this month it was looking at a large number of locations and expected to make a decision within two months.
U.S. insurer AIG said earlier this month it will set up a European subsidiary in Luxembourg, in addition to its European headquarters in London.
Lloyd’s of London insurer Beazley Plc said in November it had filed an application with the Central Bank of Ireland to get approval for its Irish reinsurance business to become a European insurance company.
Chesnara Plc, an insurance-focused takeover specialist, already has an insurance company in the Netherlands but could move its headquarters there, depending on the regulatory environment in Britain after negotiations to leave the European Union.
Lloyd’s of London underwriter Hiscox Ltd said last month it was in talks with regulators in Luxembourg and Malta over setting up a new insurance base to serve EU clients.
LLOYD‘S OF LONDON
Lloyd’s of London, the world’s largest speciality insurance market, will this week pick Brussels or Luxembourg for its planned European Union subsidiary, after Dublin had been an early favourite, sources said on Monday.
Bermuda-domiciled insurer XL Catlin said its UK business XL Insurance Company SE has branches across Europe and operates under the Societe Europeen structure, currently registered in the UK. The Societe Europeen structure is relatively easy to move to a different EU jurisdiction if needed, subject to regulatory approval.
Compiled by Carolyn Cohn and Noor Zainab Hussain; Editing by Ruth Pitchford