Reinsurance is a means by which an insurance company can protect itself with other insurance companies against the risk of losses. Individuals and corporations obtain insurance policies to provide protection for various risks (hurricanes, earthquakes, lawsuits, collisions, sickness and death, etc.). Reinsurers, in turn, provide insurance to insurance companies. The company requesting the cover is called the cedant and the reinsurer can be called the ceded, although the latter term is not in common use.

Functions of Reinsurance

There are many reasons why an insurance company would choose to reinsure as part of its responsibility to manage a portfolio of risks for the benefit of its policyholders and investors.

Risk transfer

The main use of any insurer that might practice reinsurance is to allow the company to assume greater individual risks than its size would otherwise allow, and to protect a company against losses. Reinsurance allows an insurance company to offer higher limits of protection to a policyholder than its own assets would allow. For example, if the principal insurance company can write only $10 million in limits on any given policy, it can reinsure (or cede) the amount of the limits in excess of $10 million.

Reinsurance’s highly refined uses in recent years include applications where reinsurance was used as part of a carefully planned hedge strategy.

Income smoothing

Reinsurance can help to make an insurance company’s results more predictable by absorbing larger losses and reducing the amount of capital needed to provide coverage.

From Wikipedia under the GNU Free Documentation License
Sat Jul 11 15:28:04 2009

00:00:00 Reinsurance Purchasing Technician 30000 - 35000 p/a ...
joslinrowe.com
00:00:00 Reinsurance Purchasing Technician 30000 - 35000 p/a ...

unknown

ue, 14 Jul 2009 01:16:59 GM

Reinsurance. Analyst - London - City - up to 35000. A leading Lloyds Syndicate are looking to recruit a . Reinsurance. Analyst/Technic​ian to join their current team. Your role will be to aid the team in increasing the department's capabil.

WashingtonWatch.com - S. 1363, The Nonadmitted and Reinsurance ...
washingtonwatch.com
WashingtonWatch.com - S. 1363, The Nonadmitted and Reinsurance ...

unknown

hu, 25 Jun 2009 04:00:00 GM

US Congress: S. 1363, The Nonadmitted and . Reinsurance. Reform Act of 2009.

Accountant Job Vacancy --- For a successful reinsurance ...
kenyanjobs.blogspot.com
Accountant Job Vacancy --- For a successful reinsurance ...

jobsinkenya

hu, 02 Jul 2009 03:44:00 GM

Overview Our client is a successful . reinsurance. organisation providing a wide range of services to local and international insurers and seeks to recruit an accountant. Reporting to the Finance Manager the accountant's main ...

From Google Blog Search: "Reinsurance"
Fri Jul 17 12:09:52 2009

Texas Enacts Windstorm Insurance Reforms; Will They Be Enough? - ClaimsJournal.com
news.google.com
Texas Enacts Windstorm Insurance Reforms; Will They Be Enough?

ClaimsJournal.com

These losses were paid from $1.5 billion in reinsurance proceeds, the totality of TWIA reserves in its catastrophe reserve trust fund (CRTF), ...



and more »
Endurance joins reinsurance cluster in Stamford - Danbury News Times
news.google.com
Endurance joins reinsurance cluster in Stamford

Danbury News Times

The publicly traded reinsurance company, with more than 700 employees, expects to locate an office there by October, said Jeffrey Newman, executive vice ...



and more »
Beazley H1 Earnings Decline - Update - RTT News
news.google.com
Beazley H1 Earnings Decline - Update

RTT News

Reinsurance segment achieved written premiums of GBP 97 million, higher than GBP 50.9 million in the previous year and Specialty lines wrote gross premiums ...

From Google News Search: "Reinsurance"
Fri Jul 31 20:34:08 2009

what is a reinsurance analyst?
Q. What is a reinsurance analyst? And how the heck can waht they do be worth so much when it requires only a high school education? I have a friend who is a reinsurance analyst, has h.s. diploma and is currently earing about $30,000 more per year than I am with my Masters degree in Counseling. Is helping people so undervalued or is my friend just overpaid? Well, she started in the business about 15 years ago and still with same company, but still blows me away when she gets a $15,000 or $20,000 bonus every year when I have never seen one in my life and we are the same age!! I think no wonder our insurance cost so much if this is what they do with their money!!!
Asked by dsjnix - Thu Mar 1 14:09:55 2007 - - 3 Answers - 0 Comments

A. First of all, you need to understand what Reinsurance is. Reinsurance is a means by which an insurance company can protect itself against the risk of losses with other insurance companies. Individuals and corporations obtain insurance policies to provide protection for various risks (hurricanes, earthquakes, lawsuits, collisions, sickness and death, etc.). Reinsurers, in turn, provide insurance to insurance companies. Much of the reinsurance for insurance companies in the U.S. is provided by Lloyd's of London, several Bermuda Reinsurance Companies, and other offshore or foreign reinsurance companies. A lot of the damage after Hurricane Katrina was paid for by Reinsurance Companies. Your policy might have been with State Farm but State… [cont.]
Answered by Faye H - Thu Mar 1 14:30:10 2007

The Reinsurance Treaty?
Q. I am writing a paper on the causes of World War One for University and it loosly alludes to the Reinsurance Treaty I cant seem to find info on it anyone have any info or at least where I can get info on it?
Asked by Spartnagirlie - Fri Sep 8 19:09:15 2006 - - 1 Answers - 0 Comments

A. It's called google
Answered by Ghad Joe - Fri Sep 8 19:12:07 2006

what is reinsurance?
Q. what is reinsurance?
Asked by Sarah P - Wed Mar 14 19:12:23 2007 - - 8 Answers - 0 Comments

A. Laying off bets to spread the risk.
Answered by Finbarr D - Wed Mar 14 19:15:02 2007

From Yahoo Answer Search: "Reinsurance"
Fri May 1 22:48:11 2009

  • APREFAPREF
    apref.eu
    An information centre and a discussion forum on reinsurance in France for everyone dealing with this business, located or working on the Paris market place.
  • ReSys - Reinsurance Run-Off SystemReSys - Reinsurance Run-Off System
    falx.com
    ReSys is a modern run-off administration system to offer complete support to all areas in a new or existing reinsurance run-off operation.
  • Ruschlikon - Centre for global dialogueRuschlikon - Centre for global dialogue
    ruschlikon.net
    Swiss Re's centre for global dialogue on managing capital and risk. Applied research, business solutions and corporate development.
Custom search only Reinsurance sites:

Help build the largest human-edited directory on the web.
Submit a Site - Open Directory Project - Become an Editor
Tue Jul 7 05:23:02 2009