Reinsurance


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Reinsurance

The spreading of risk and division of client premiums among insurance companies allowing the sharing of the burden of a large risk.

Reinsurance

An insurance policy for insurers. In reinsurance, one insurer cedes a portion of its portfolio of policyholders to another insurer in exchange for paying a fee. There exists the possibility that too many policyholders will make a claim and a single insurer will be unable to pay the benefit without ruining itself. This is especially true for disaster insurance and other similar policies. Reinsurance reduces this risk. It is also called stop-loss insurance.

reinsurance

see INSURANCE COMPANY.
References in periodicals archive ?
During the review period (2009C 2013), the Russian reinsurance segment underwent significant changes in terms of its regulatory structure.
S regulators should consider the non-collateral safeguards of these leading reinsurance jurisdictions.
Increased industry capital - Due to significant rate increases and a relatively benign loss season, 2006 is likely to be a record year for reinsurance industry profitability.
Brokers such as Collins look at primary insurers' portfolios and identify which policies are driving a larger percentage of risk versus gross premiums, and then remove those risks from a treaty and seek to cover it with facultative reinsurance instead, Bilot said.
Security Life Reinsurance, a division of Security Life of Denver Insurance Company, is America's fourth largest life reinsurer based on ordinary recurring reinsurance sales.
The policy is triggered by certain non-standard credit events designed to isolate the specific nature of counterparty risk in the reinsurance market.
In Matcham's view, the Reinsurance Directive will demonstrate that the EU has a set of minimum and recognized reinsurance standards.
Hartz, CIGNA Reinsurance expects to expand comprehensive reinsurance products at competitive prices.
Mounis will bring almost 30 years of international reinsurance expertise to the company's European operations, having served in senior management posts with France's largest reinsurer.
We intend to support the continued growth of Underwriters Reinsurance through additional investment and the accumulation of retained earnings; in particular, we plan to make an additional investment in Underwriters Reinsurance sufficient to increase its statutory surplus to approximately $250 million by year-end.
Our growth outlook is very favorable given the business environment in which we operate and the support available from Transamerica's reinsurance organizational structure.