The Brazilian Senate has approved a major tax bill designed to substantially reduce the corporate tax burden on local reinsurers, a move set to unlock significant deferred tax assets and boost sector profitability. The core of the new legislation is a reduction in the Social Contribution on Liquid Profit (CSLL) rate for local reinsurers from 15% to 9%, starting in 2027. This change, which now awaits presidential sanction, targets a key sector whose high tax load has long hampered its competitiveness and capital efficiency in Brazil.