XL Catlin is aiming to tap into the booming Indian economy.

The global insurer and reinsurer has started the licensing process to establish a reinsurance branch in India.

The application has been filed with the Insurance Regulatory Development Authority of India and seeks to establish a reinsurance branch office of XL Insurance Company. Pending all necessary regulatory approvals, the company expects to be able to start operations in India later this year.

Brendan Plessis, head of emerging markets, will lead the team’s effort to establish a business in India.

The company said the decision to pursue market entry into India aligns with its strategy of establishing a presence in emerging and developing markets where economic activity is increasing and the re/insurance market would benefit from its global expertise.

According to XL Catlin, India has seen significant economic development over recent years, leading it to overtake China in terms of gross domestic product (GDP) growth across 2015.

Economic reforms and improved infrastructure have led to a growing middle class and increased private consumption, which in turn benefits the local economy and helps to raise living standards.

XL Catlin has had service operations in India since opening its first offices there in Gurgaon in 2004, delivering a range of business support services. The firm has a representative office in Mumbai, as well as staff spread across offices in Gurgaon and Bengaluru.

Greg Hendrick, XL Catlin’s chief executive of the reinsurance segment, said: “The development we’re seeing in India means that the market represents significant opportunities for XL Catlin. I believe we have what it takes to respond to the reinsurance needs of companies and brokers in this vast, growing economy.

“We find that in India there is a huge desire to have seamless access to reinsurance capacity. The local market needs a reinsurer with global scale and technical capabilities, with underwriters based locally who understand the risks and can offer breadth of product.”

Mike McGavick, XL Catlin’s chief executive officer, added: “The re/insurance market in India is primed for development. This is the right time for us, and getting the right people on the ground, offering the right solutions will define our success.

“Traditionally, the reinsurance market has been under-represented in the region, but we are now in a position to be in the first tier of global foreign reinsurers opening owned branches in India. Meeting the regulatory requirements is a key priority for us, as we move forward to demonstrate our commitment to this growing market.”