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European, UK insurance bodies want Britain to remain in EU

Published 20/06/2016, 14:51
© Reuters. A British Union flag flies in front of an EU flag during a pro-EU referendum event at Parliament Square in London

LONDON (Reuters) - Twenty-one European insurance associations said on Monday it was in Britain's and the European Union's interests for Britain to remain in the EU, and a British insurance broking association said the sector would be better off if Britain remained.

Britain votes in a referendum on Thursday on whether to leave the EU.

The 21 trade bodies who signed an open letter released by the Association of British Insurers (ABI) include those from Norway and Switzerland which are not in the European Union, although both countries are part of the EU's single market.

"The UK is an active and positive partner which also has a firm and critical eye and is willing to challenge as required," the trade bodies said.

"This brings results for the UK, and is healthy for the whole of the EU."

The ABI did not sign the letter but has also said Britain should remain in the EU.

The British Insurance Brokers' Association, meanwhile, separately said on Monday it would be better for Britain to remain in the EU.

Brexit would lead to uncertainty for businesses, while a lack of access to the "passporting" system enabling financial services to be sold across Europe could reduce business for brokers and choice for consumers, BIBA said in a statement.

"A Remain vote would stimulate investment and boost confidence that we will be able to continue to trade freely under the EU freedom of services provision," BIBA chairman David Hunt said in the statement.

Major insurers such as Lloyd's of London [SOLYD.UL] and Legal & General have previously spoken in favour of Britain remaining in the EU.

U.S. insurer AIG said last week it may look for a European headquarters outside London if Britain voted out.

© Reuters. A British Union flag flies in front of an EU flag during a pro-EU referendum event at Parliament Square in London

But Dominic Burke, chief executive of broker Jardine Lloyd Thompson, was among 110 signatories to a letter from City of London figures earlier this year backing Brexit.

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