Bermudian-based Sompo International Holdings Ltd is to open a new subsidiary in Luxembourg as a Brexit-proof platform for growth in Europe.

The insurer and reinsurer said today it had received regulatory approvals from Luxembourg’s Ministry of Finance to establish the new subsidiary, SI Insurance (Europe).

SI joins others, such as Hiscox and American International Group, who have chosen to set up a European hub away from London to avoid the impact of the likely loss of “passporting” rights that allow UK-based companies unhindered access to European Union countries.

SI said it would maintain its London offices and its presence in the Lloyd’s market.

John Charman, chairman and chief executive officer of Sompo International, said: “Europe is a key component to SI’s strategic growth plans and SIIE now provides us with a base in continental Europe to build our presence in the region.

“We continue to introduce new specialty teams and deliver a broader suite of products as we enhance our capabilities to provide exceptional and efficient service to our international clients.”

Takashi Kurumisawa will be CEO of the new company, which is expected to become operational later this year.

Sompo International plans to extend SIIE this year beyond its headquarters in Luxembourg to include operations in Italy, France, Spain, Germany and Belgium as the company integrates Sompo Japan Nipponkoa Insurance Company of Europe Ltd and further expands its European operations.