MAPFRE Re has received regulatory approval from the International Financial Services Centers Authority of India to establish a branch office in Gujarat's GIFT City, joining a competitive land grab as at least 20 global reinsurers seek to tap the world's tenth-largest insurance market through the tax-advantaged financial hub.
The Spanish reinsurer is officially seeking an International Insurance Office license in GIFT City effective January 2026 alongside Lloyd's of London, Samsung Re and Kenya Re, industry reports showed.
About 14 global reinsurers currently operate from the special economic zone managing an annualized US$700 million to US$800 million in premiums, with the number expected to reach at least 20 by the end of March 2026, regulatory officials indicated.
GIFT City (Gujarat International Finance Tec-City) is India's maiden International Financial Services Centre, treated as a "deemed foreign territory" located on Indian soil with regulatory frameworks on par with offshore financial service jurisdictions, IFSCA documentation showed.
Entities operating from GIFT IFSC enjoy a 10-year tax holiday out of a block of 15 years, with no capital gains tax and no securities transaction tax, official information showed. Foreign reinsurers can adhere to solvency norms set by their domestic regulators rather than Indian regulations requiring a minimum 150% solvency ratio, regulatory frameworks indicated.
The authorization comes as parent company MAPFRE broke through the €1 billion profit threshold for the first time in its 90-year history, posting group net profit of €1.079 billion for 2025, up 19.6% from the prior year, company results showed. The milestone caps a dramatic recovery from 2022 when profit slumped to €642 million amid high inflation and catastrophic losses.
MAPFRE Re contributed record profit of €381 million in 2025, representing a 17.2% increase, with premium volume reaching €8.4 billion and combined ratio improving to 91.2%, performance metrics indicated.
The company's Solvency II ratio stood at 210.4% as of September 2025, well above regulatory requirements, while shareholders' equity amounts to €8.9 billion, providing substantial capital flexibility for expansion, financial disclosures showed.
Miguel Rosa (pictured above), chief executive officer at MAPFRE Re, said the authorization allows the company to operate closer to clients. "We'll also be able to leverage our technical knowledge and underwriting capacity in a market with high development potential," Rosa said.
India's insurance market is estimated at US$129.78 billion, industry estimates showed. International reinsurers are seeking to offer products relatively underdeveloped in India including surety bonds, parametric insurance, marine cover, cyber risk and health reinsurance, sources said.
Javier Sánchez Cea, APAC regional manager at MAPFRE Re, said the branch opening strengthens commitment to India as a strategic market. The company maintains operations across multiple Asian markets including the Philippines, Japan, Malaysia and Singapore.
MAPFRE Re will proceed with pre-opening procedures with local administrations and aims to commence operations within the coming weeks.
