Understanding Agricultural Reinsurance
|
|
- Wendy Davidson
- 8 years ago
- Views:
Transcription
1 1 Understanding Agricultural Reinsurance Ramiro Iturrioz Insurance for the Poor The World Bank June, 2010
2 2 What is reinsurance? Reinsurance is insurance for insurers. It is an agreement between an insurer (cedent) and a reinsurer: the reinsurer agrees to indemnify the cedent against all or part of a loss which the ceding company may incur under certain policies of insurance that it has issued. In turn, the cedent pays a consideration, typically a premium, and discloses information needed to assess, price and manage the risks covered by the reinsurance contract.
3 3 What are the essentials of agriculture reinsurance? What is agricultural reinsurance? Agricultural reinsurance is a specialized sub-line of business of property reinsurance. Crops, livestock, forestry, aquaculture, bloodstock, greenhouses, and pets. Who offers agricultural reinsurance? Approximately 20 reinsurance companies are reinsuring agricultural risks. Leaders: Those who provide terms and conditions ( restricted to a group of 6 reinsurers) Followers: Those who provide capacity following the Leader s terms and conditions. Currently, it is estimated that between 15% to 20% of the agricultural insurance direct premiums (US$ 19.5 billon) are reinsured. Who purchase agricultural reinsurance? Agriculture Primary Insurers (majority) Reinsurance Intermediaries. Multinational Corporations. Captive insurers or banks.
4 4 Insured s business model defines the reinsurance needs Insurers whose agricultural risks portfolios are exposed to catastrophic events need more reinsurance. Small local agricultural insurers need more reinsurance coverage than larger international insurers. Multiline Insurers have a relatively better balanced portfolio than agricultural specialized insurers; therefore, need relatively less reinsurance cover. Portfolios with a small number of risks facing large exposures need more reinsurance than portfolios with a large number of small and homogenous risks Agricultural Insurers expanding into new products or entering new geographical regions often use reinsurance to benefit from reinsurers expertise and financing. How much business an agricultural insurer will reinsure depends on its business model, its capital strength, its risk appetite, and the prevailing market conditions
5 5 What are the benefits of agriculture reinsurance? Makes agricultural insurance more stable and attractive for insurers Reduces volatility of underwriting results Provides capital relief and flexible financing Allows agricultural insurers to benefit from the economies of scale. More business with the same amount of capital. Spread overheads over a broader base of business Access to reinsurers expertise and services, especially in the fields of product development, pricing, underwriting, and claims management Cross fertilization among markets. Underwriting tools, training for insurers underwriters and risks models Guidelines on claims assessment and training Reinsurance allows efficient risk and capital management Through protecting balance sheets against unexpected adverse losses, Through a better understanding of the assumed risks Through ensuring a correct risk assessment and pricing
6 6 How do agricultural reinsurers manage risks? Risk management is the core competence of any reinsurer The role of risk management is to identify, monitor and model the risks and their interdependencies and to ensure that risks are in line with what the reinsurer can bear. Risk Management is an interactive process which involves: Underwriting process Capital Management Asset Management Capital Management Underwriting Risk Management Asset Management
7 7 Diversification leads to a lower price for reinsurance Lines of business insured Optimum Better Diversification Lower capital needs and capital cost given the exposure Less expensive reinsurance cover Multiline Higher level of protection given the level of capital Geographical Distribution International National Mono-line Small Big Portfolio size
8 8 What framework is needed for agricultural reinsurance? Market Level Freedom of contract and legal security Market access and free flow of capital Adequate Insurance Regulations (Capital requirements) Client Level Expertise in agricultural business. Existence of underwriting and loss adjustment manuals. Availability of Information for risk assessments Insurers net retentions. Risk Level Experienced surveyors and loss adjusters. Adequate insurance policy wordings Minimum premium requirements Adequate terms and conditions.
9 9 PPPs from reinsurers perspective GOVERNMENT INTERVENITON Fully Intervened System High Insurance penetration levels Well Diversified Portfolios Social criteria prevail over Technical criteria Monopolies. Several issues with the service. Government assumes full liability (not reinsured) High Fiscal Cost High Insurance penetration levels Well Diversified Portfolios Technical criteria over commercial criteria The competition is for service. Government adds stability to the system Private Sector adds know how. Reasonable Fiscal Cost Pure Market Based Low to moderate penetration. Low risk diversification. Commercial prevail over technical criteria. The competition is on price No fiscal cost PLAYERS & PRODUCT DIVERSIFICATION
10 10 Conclusions The Insured s agricultural reinsurance needs depend on its business model, capital strength, risk appetite, and prevailing reinsurance market conditions. Agricultural reinsurance is not limited to providing financial capacity; market discipline and expertise transfer are also a plus of agricultural reinsurance. Portfolio risk management from a reinsurer perspective is based on three pillars: underwriting process, capital management, and asset management. Owing to specialization and capacity to diversify risks, reinsurance is one of the most efficient ways to transfer agricultural risks. Legal security, freedom of flow of capital, primary insurer partnership are preconditions for reinsurance. Size is important in agricultural reinsurance. Transaction cost for small reinsurance cessions can be too onerous. PPPs models in agricultural insurance are supported by reinsurers.
11 11 Appendix: Basic forms of agricultural reinsurance a) Proportional Quota Share Surplus Share Premiums and liabilities are divided equally RI closely linked to the original policies written Original terms + conditions are very important RI Commission is a pricing element Good structure on start up situations Cedant retains a share of those risks which are below a specific maximum termed line. Risks exceeding the cedant line are reinsured. RI s share is made up of a number of lines Good structure to homogenizing portfolios
12 12 Appendix: Basic forms of agricultural reinsurance b) Non Proportional: Stop Loss 150 Mio = 150% LR Upper Limit of Cover = 150% LR (150 Mio) Stop Loss Cover Stop Loss Cover = 50% xs 100% (50 Mio) 100 Mio = 100% LR Priority= 100% LR (100 Mio) Premium Income = 100% Deductible Reinsured Retention Commonly used in crops and livestock insurance. Objective: To protect primary insured retention over a certain aggregate period. Priority levels are selected carefully to avoid to guarantee primary insured's profits RI pays claims which fall between the limit and the priority (For this example: 50% LR xs. 100%) For claims below or above limits, insurer has to carry losses or buy additional RI RI premium is set independently of original business
13 13 Basic forms of agricultural reinsurance c) Non Proportional: Working Excess of Loss per Event and Cat XL Event Cat XL/ R Ceiling Cat XL Cover WXL/ R Ceiling Cat XL/ R deductible WXL/ R Cover WXL/ R Deductible WXL/ R deductible Cat XL Deductible Risks Cat XL is commonly used in Aquaculture and Forestry insurance (risk accumulation problems). Objective: To protect primary insured retention against catastrophic losses due to the same event. Two or more risk has to be affected due to the same insured event to trigger a Cat XL. Event definition (type, geographical extension and duration) is key for this coverage. RI pays claims which fall between the limit and the deductible (attachment point) For claims below or above limits, insurer has to carry losses or buy additional RI RI premium is set independently of original business
THE REINSURANCE PRINCIPLES
THE REINSURANCE PRINCIPLES Contents 1. Concepts of Insurance and Reinsurance 2. Functions of Reinsurance 3. Types & structures of Reinsurance 4. Introduction to Pricing 5. Introduction to Portfolio Strategy
More informationReinsurance 101: How it Works and the Impact on the Marketplace
Reinsurance 101: How it Works and the Impact on the Marketplace Kathleen A. McCullough Associate Professor and State Farm Professor Florida State University 2012 Oklahoma Domestic Conference May 23, 2012
More informationre in sur ance: A Basic Guide to Facultative and Treaty Reinsurance
re in sur ance: A Basic Guide to Facultative and Treaty Reinsurance Introduction 1 What Is Reinsurance? 2 Functions of Reinsurance 3 Providers of Reinsurance 3 Regulation 4 Reinsurance Concepts 5 Facultative
More informationHOMEOWNERS WARRANTY AND REINSURANCE. Specialties IDI Business Unit Stéphane AMILHAU
HOMEOWNERS WARRANTY AND REINSURANCE Specialties IDI Business Unit Stéphane AMILHAU Summary 1 SCOR Group 2 Homeowners warranty 3 Reinsurance 4 Conclusions 2 SCOR Group SCOR: Reinsurance Company CEO of the
More informationIASB/FASB Meeting Week beginning 16 May 2011. 1. This paper discusses the accounting for reinsurance and asks the boards to decide whether to:
IASB/FASB Meeting Week beginning 16 May 2011 IASB Agenda reference 3J FASB Agenda Staff Paper reference 68J Contact(s) Jennifer Weiner jmweiner@fasb.org +1 (203) 956-5305 Adam Lindemuth alindemuth@fasb.org
More informationAgricultural Reinsurance
Issues Barry K. Goodwin North Carolina State University October 7, 2013 AAEA Crop Insurance and The Farm Bill Symposium Louisville, Kentucky Introduction Reinsurance is simply insurance taken by insurers
More informationProportional and non-proportional reinsurance
Proportional and non-proportional reinsurance UM3UM3 Proportional and non-proportional reinsurance The main differences between these two types of reinsurance cover a discussion with specific examples
More informationSpecialty Insurance Where Are We Headed?
2013 PLUS D&O Symposium Specialty Insurance Where Are We Headed? David Cash Endurance Specialty New York - February 6-7, 2013 Keynote Outline 1. Who are the Specialty Companies? 2. Economic drivers for
More informationBroker and Market Update
Broker and Market Update September 2, 2009 65 Market Street, Suite 1207 Jasmine Court, Camana Bay, Grand Cayman, Cayman Islands Tel: +1 345 943 4573 Key Facts Publicly traded - listed on the Nasdaq Ticker:
More informationAddressing a Corporate Structure Issue
Addressing a Corporate Structure Issue Industry Manufacturing Motivation A manufacturer of safety products believed it had adequate insurance and cash flow to cover its silica claims, but management wanted
More informationCaptive insurance: An overview of the market today
Once considered to be a cutting edge risk management tool, captive insurance has now found its way into the mainstream of corporate risk planning. Captive insurance companies (generally defined as wholly
More informationFinansinspektionen s Regulatory Code
Finansinspektionen s Regulatory Code Publisher: Finansinspektionen, Sweden, www.fi.se ISSN 1102-7460 This translation is furnished for information purposes only and is not itself a legal document. Finansinspektionen
More informationDirectors and Officers Liability Insurance Guidance and Advice for Risk Managers
Directors and Officers Liability Insurance Guidance and Advice for Risk Managers The insurance market has responded to recent corporate failures by requiring more information from organisations seeking
More informationREINSURANCE ISSUES FOR SUPERVISORS. by Richard Smith Chief Manager General Insurance Australian Prudential Regulation Authority
REINSURANCE ISSUES FOR SUPERVISORS by Richard Smith Chief Manager General Insurance Australian Prudential Regulation Authority Background My comments are made in the context of general (non-life) insurance
More informationBelow is a general overview of Captives with particular information regarding Labuan International and Business Financial Centre (Labuan IBFC).
LABUAN CAPTIVES Below is a general overview of Captives with particular information regarding Labuan International and Business Financial Centre (Labuan IBFC). Kensington Trust Labuan Limited is a licensed
More informationPosition paper on. Treatment of captives in SOLVENCY II
Position paper on Treatment of captives in SOLVENCY II 1 INTRODUCTION...3 2 NATURE AND RATIONALE OF CAPTIVES...3 2.1 Captive Objectives...3 3 THE SOLVENCY II OBJECTIVES...5 EU OBJECTIVE 1: Improve protection
More informationTailoring Agricultural Insurance Products to Developing Countries
Tailoring Agricultural Insurance Products to Developing Countries Ramiro Iturrioz Senior Agriculture Insurance Specialist Insurance for the Poor The World Bank October, 2010 1 Agenda Risk and constraints
More informationBasic Reinsurance Accounting Selected Topics
Basic Reinsurance Accounting Selected Topics By Ralph S. Blanchard, III, FCAS, MAAA and Jim Klann, FCAS, MAAA CAS Study Note The purpose of this study note is to educate actuaries on certain basic reinsurance
More informationINSURANCE RATING METHODOLOGY
INSURANCE RATING METHODOLOGY The primary function of PACRA is to evaluate the capacity and willingness of an entity / issuer to honor its financial obligations. Our ratings reflect an independent, professional
More informationA BILL FOR AN ACT ENTITLED: "AN ACT GENERALLY REVISING LAWS RELATED TO FARM MUTUAL
HOUSE BILL NO. 0 INTRODUCED BY R. BRODEHL A BILL FOR AN ACT ENTITLED: "AN ACT GENERALLY REVISING LAWS RELATED TO FARM MUTUAL INSURANCE; PROVIDING A MANAGING GENERAL AGENT WAIVER TO CERTAIN PERSONS HANDLING
More informationSCOR inform - April 2012. Life (re)insurance under Solvency II
SCOR inform - April 2012 Life (re)insurance under Solvency II Life (re)insurance under Solvency II Author Thorsten Keil SCOR Global Life Cologne Editor Bérangère Mainguy Tel: +33 (0)1 58 44 70 00 Fax:
More informationPrudential Practice Guide
Prudential Practice Guide LPG 240 Life Insurance Risk and Life Reinsurance Management March 2007 www.apra.gov.au Australian Prudential Regulation Authority Disclaimer and copyright This prudential practice
More informationInsurance Regulatory Authority IRA/PG/12 GUIDELINE TO THE INSURANCE INDUSTRY ON REINSURANCE ARRANGEMENTS
Insurance Regulatory Authority IRA/PG/12 GUIDELINE TO THE INSURANCE INDUSTRY ON REINSURANCE ARRANGEMENTS FEBRUARY 2013 To Insurance Companies Reinsurance Companies Insurance Intermediaries GUIDELINE ON
More informationAs the costs associated. Captive Solutions for Medical Stop Loss: Take Your Self-Insurance Program to the Next Level by Allison Repke
Captive Solutions for Medical Stop Loss: Take Your Self-Insurance Program to the Next Level by Allison Repke As the costs associated with providing healthcare coverage continue to rise, companies are looking
More informationUnderstanding reinsurance: How reinsurers create value and manage risk
Understanding reinsurance: How reinsurers create value and manage risk Table of contents Executive summary 3 What are the essentials of reinsurance? 4 What is reinsurance? Who offers reinsurance? Who buys
More informationFinansinspektionen s Regulatory Code
Finansinspektionen s Regulatory Code Publisher: Hans Schedin, Finansinspektionen, Box 7831, SE-103 98 Stockholm, Sweden. Ordering address: Fakta Info Direkt, Box 6430, SE-113 82 Stockholm, Sweden. Tel.
More informationHow To Manage Capital From A Reinsurance To A Catastrophe Risk
REINSURANCE SOLUTIONS Managing Economic And Rating June 2009 redefining Capital Access Advocacy Innovation Contents Capital Management Challenges Eased Through Reinsurance Placements 3 Reinsurance Benefits
More informationProperty & Casualty Simulation Game. Reinsurance. Peter Liebwein Keith Purvis. riva 2000-2005 Version 2.1E
Property & Casualty Simulation Game Reinsurance Peter Liebwein Keith Purvis riva 2000-2005 Version 2.1E Contents Reinsurance Basics 2 What is Reinsurance?...2 Why Do Insurance Companies Need Reinsurance?...2
More informationInnovative Design of Insurance Risk Transfer a Corporate Perspective
Innovative Design of Insurance Risk Transfer a Corporate Perspective Monika Wieczorek-Kosmala 1 Abstract The paper discusses innovative solutions within insurance risk transfer available for companies.
More informationCaptive Strategies: Enhancing Value and Ensuring Compliance
Captive Strategies: Enhancing Value and Ensuring Compliance The Benefits of Diversification and the Need for Compliance Owners of captive insurance entities recognize the value that a captive can bring
More informationThe Rent-A-Captive Alternative
The Rent-A-Captive Alternative This brochure is made available for informational purposes only in support of the insurance relationship between FM Global and its clients. This information does not change
More informationAttachment Probability The attachment probability is the likelihood a cat bond will suffer some losses over the course of a one-year period.
ILS Glossary Attachment Probability The attachment probability is the likelihood a cat bond will suffer some losses over the course of a one-year period. Basis Risk Basis risk is the difference between
More informationClaims Paying Ability / Financial Strength Rating Methodology for Insurance Companies
Claims Paying Ability / Financial Strength Rating Methodology for Insurance Companies CRAF s Claims Paying Ability (CPA) / Financial Strength Rating (FSR) is an opinion on an insurance company s financial
More informationAmlin plc. Numis Non-life Insurance Briefing 13 January 2011. Charles Philipps, CEO
Amlin plc Numis Non-life Insurance Briefing 13 January 2011 Charles Philipps, CEO This presentation contains or may contain forward-looking statements. It is important to note that the Company s actual
More informationState Auto Financial Corporation
State Auto Financial Corporation June 2012 FINANCIAL STRENGTH REPUTATION RELATIONSHIPS RELIABILITY RESPONSIVENESS Safe Harbor Forward-Looking Statements This presentation may contain forward-looking statements
More informationCHAPTER 2 AGRICULTURAL INSURANCE: A BACKGROUND 9
CHAPTER 2 AGRICULTURAL INSURANCE: A BACKGROUND 9 Chapter 2: AGRICULTURAL INSURANCE: A BACKGROUND In Chapter 1 we saw that insurance is one of the tools that farmers and other stakeholders can use to manage
More informationEuropean Commission. 31 January 2002 Contract no: ETD/2000/BS-3001/C/44. KPMG This report contains 157 pages Appendices contain 16 pages mk/nb/552
European Commission Study into the methodologies for prudential supervision of reinsurance with a view to the possible establishment of an EU framework 31 January 2002 Contract no: ETD/2000/BS-3001/C/44
More information- A Brokers Perspective
GEARING UP FOR A DE-TARIFF REGIME Strategies & Experiences in Managing Risk Transfers - A Brokers Perspective IFC, New Delhi August 22, 2006 Sanjay Kedia Content Market Overview Total Cost of Risk Components
More informationCapital Management in a Solvency II World & the Role of Reinsurance
Capital Management in a Solvency II World & the Role of Reinsurance Paolo de Martin CEO SCOR Global Life IAA Colloquium Oslo June 2015 Overview Why I Focus today on Capital Management? Reminder key objectives
More informationSession 106 PD, Reinsurance for Capital Management of Health Insurance Business. Moderator/Presenter: Michael David Mulcahy, FSA, MAAA
Session 106 PD, Reinsurance for Capital Management of Health Insurance Business Moderator/Presenter: Michael David Mulcahy, FSA, MAAA Presenters: Rob Healy Katrina E. Spillane, FSA, MAAA Brad Quinn Collateralized
More informationGuidelines on the Reinsurance Cover of Primary Insurers & the Security of their Reinsurers
2012 Guidelines on the Reinsurance Cover of Primary Insurers & the Security of their Reinsurers 2 Contents Guidelines on the Reinsurance Cover of Primary Insurers and the Security of their Reinsurers...
More informationThoughts on Self-Insurance
Thoughts on Self-Insurance Managing Risk Isn t a Matter of Avoiding It But How Best to Handle It In the Most Economical, Sensible Way As part of its overall risk management program, a contractor must determine
More informationREINSURANCE RISK MANAGEMENT GUIDELINE
REINSURANCE RISK MANAGEMENT GUIDELINE Initial publication: April 2010 Update: July 2013 Table of Contents Preamble... 2 Introduction... 3 Scope... 5 Coming into effect and updating... 6 1. Reinsurance
More informationTerms of Reference for consultants
Terms of Reference for consultants The consultants for the proposed TA will largely comprise actuaries, underwriters and data analysts with relevant experience in crop insurance and their expertise will
More informationZurich s approach to Enterprise Risk Management. John Scott Chief Risk Officer Zurich Global Corporate
Zurich s approach to Enterprise Risk Management John Scott Chief Risk Officer Zurich Global Corporate Agenda 1. The risks we face 2. Strategy risk and risk tolerance 3. Zurich s ERM framework 4. Capital
More informationThe New Florida Insurance Bill SB 130
BILL: SB 130 The Florida Senate BILL ANALYSIS AND FISCAL IMPACT STATEMENT (This document is based on the provisions contained in the legislation as of the latest date listed below.) Prepared By: The Professional
More informationIndemnity based Nat Cat insurance covers for sovereign risks Example: FONDEN, Mexico
Indemnity based Nat Cat insurance covers for sovereign risks Example: FONDEN, Mexico Workshop World Bank / Munich Re Washington: 23 April 2013 Dott. Ing. Paolo Bussolera Head of Claims - Europe and Latin
More informationAddressing a Corporate Structure Issue
Addressing a Corporate Structure Issue BLENDED STRUCTURE Industry Manufacturing Motivation A manufacturer of safety products believed it had adequate insurance and cash flow to cover its silica claims,
More informationBusiness models in reinsurance Munich Re's positioning
Business models in reinsurance Munich Re's positioning Torsten Jeworrek 6 September 2009 Monte Carlo Trends in reinsurance Short-term term trends Decrease in capacity and resulting hardening of the markets,
More informationSTATE OF NEVADA. Bulletin 14-007 August 5, 2014
BRIAN SANDOVAL Governor STATE OF NEVADA BRUCE H. BRESLOW Director SCOTT J. KIPPER Commissioner DEPARTMENT OF BUSINESS AND INDUSTRY DIVISION OF INSURANCE 1818 East College Pkwy., Suite 103 Carson City,
More informationBill Hodson Executive Vice President, USA Risk Intermediaries, LLC Joseph Meli Senior Vice President, General Reinsurance Corporation Garry Bright
Bill Hodson Executive Vice President, USA Risk Intermediaries, LLC Joseph Meli Senior Vice President, General Reinsurance Corporation Garry Bright Director of Operations, Besso Re To age prematurely, and
More informationChapter 2 Reinsurance Market Practices
Chapter 2 Reinsurance Market Practices This part describes the main characteristics of the reinsurance market. After recalling some of the institutional and legal context, we review the mechanisms of the
More informationMedical Indemnity Issues for a State Insurer. Adrian Nye Chairman, Victorian Managed Insurance Authority
Medical Indemnity Issues for a State Insurer Adrian Nye Chairman, Victorian Managed Insurance Authority Lessons from the early 2000s Data is critical Public-private interdependencies The role of statute
More informationMEDICAL SELF-INSURED PLAN HEALTH INSURANCE. FOR YOU. WHEREVER. WHENEVER.
MEDICAL SELF-INSURED PLAN HEALTH INSURANCE. FOR YOU. WHEREVER. WHENEVER. MEDICAL SELF-INSURED PLAN THE ALTERNATIVE TO FULLY-INSURED SOLUTIONS A self insured plan may represent an effective long-term strategy
More informationVALIDUS ANNOUNCES 2015 FULL YEAR NET INCOME OF $374.9 MILLION 2015 NET OPERATING RETURN ON AVERAGE EQUITY OF 11.3%
VALIDUS ANNOUNCES 2015 FULL YEAR NET INCOME OF $374.9 MILLION 2015 NET OPERATING RETURN ON AVERAGE EQUITY OF 11.3% BOOK VALUE PER DILUTED COMMON SHARE OF $42.33 AT DECEMBER 31, 2015 Pembroke, Bermuda,
More informationAssessing Sources of Funding for Insurance Risk Based Capital
Assessing Sources of Funding for Insurance Risk Based Capital Louis Lee Session Number: (ex. MBR4) AGENDA for Today 1. Motivations of Capital Needs 2. Practical Risk Based Capital Funding Options 3. Types
More information2 Appendix 2. Insurance Transactions and Positions, and Pension Schemes. Insurance Transactions and Positions APPENDIX.
2 Appendix 2 APPENDIX Transactions and Positions, and Pension Schemes Transactions and Positions Introduction A2.1 Over the lifetime of insurance contracts, insurance companies produce services to their
More informationINS 3101: PRINCIPLES OF RISK MANAGEMENT AND INSURANCE. By 5315045 Pichaya Sadudeechevin
INS 3101: PRINCIPLES OF RISK MANAGEMENT AND INSURANCE By 5315045 Pichaya Sadudeechevin Chapter 1: Risk and Its treatment What is risk? Risk is uncertainty concerning the occurrence of loss. - Objective
More informationfor Analysing Listed Private Equity Companies
8 Steps for Analysing Listed Private Equity Companies Important Notice This document is for information only and does not constitute a recommendation or solicitation to subscribe or purchase any products.
More informationGroup Captive Insurance Programs for Property and Casualty Coverages
Group Captive Insurance Programs for Property and Casualty Coverages Duke Niedringhaus, ARM Vice President J.W. Terrill, Inc. April 2013 Group captive insurance programs can be an attractive alternative
More informationHow To Calculate Spread Loss In Germany
The World of Structured Reinsurance Case Study Spread Loss Alexander Gollin, Advanced Solutions 4º Encontro de Resseguro Rio de Janeiro, 15th April 2015 01 02 General Overview 03 14 Case Study 15 15 Compliance
More informationMunich Re Group Turning risk into value
Munich Re Group Dresdner Kleinwort 9th German Investment Seminar New York Nikolaus von Bomhard Chairman of the Board of Management 9 January 2007 A world leading reinsurer with a significant primary insurance
More informationWashington, DC. A World-Class City for Captive Insurance
Washington, DC A World-Class City for Captive Insurance Washington, DC A World-Class City for Captive Insurance The Risk Finance Bureau regulates captive insurance companies, risk retention groups and
More informationUmbrella & Excess Liability - Understanding & Quantifying Price Movement
Umbrella & Excess Liability - Understanding & Quantifying Price Movement Survey of Common Umbrella Price Monitoring Methods Jason Kundrot CARe Seminar on Reinsurance, 1 Survey of Common Umbrella Price
More informationDRAFT May 2012. Objective and key requirements of this Prudential Standard
Prudential Standard GPS 230 Reinsurance Management Objective and key requirements of this Prudential Standard This Prudential Standard requires a general insurer and a Level 2 insurance group to maintain,
More informationGuidance Note GGN 220.6 Insurance Risk
Guidance Note GGN 220.6 Insurance Risk 1. An insurer s risk management framework must address insurance risk. 2. Insurance risk may be defined as the risk that inadequate or inappropriate underwriting,
More informationRating Methodology for Domestic Life Insurance Companies
Rating Methodology for Domestic Life Insurance Companies Introduction ICRA Lanka s Claim Paying Ability Ratings (CPRs) are opinions on the ability of life insurance companies to pay claims and policyholder
More informationINVESTOR PRESENTATION FIRST QUARTER 2015. Aspen Insurance Holdings Limited
INVESTOR PRESENTATION FIRST QUARTER 2015 Aspen Insurance Holdings Limited SAFE HARBOR DISCLOSURE This slide presentation is for information purposes only. It should be read in conjunction with our financial
More informationRE: Disclosure Requirements for Short Duration Insurance Contracts
INS-14 November 21, 2014 Mr. Russell G. Golden Chairman Financial Accounting Standards Board 401 Merritt 7 P.O. Box 5116 Norwalk, Connecticut 06856-5116 RE: Disclosure Requirements for Short Duration Insurance
More informationGENERAL INSURANCE BUSINESS UNDERWRITING
GENERAL INSURANCE BUSINESS UNDERWRITING R.Qaiser, Professor, NIA, Pune For a general insurance company, underwriting business is the basic core activity. All other activities, in fact, emanate from this
More informationCommittee on Small Business U.S. House of Representatives
Committee on Small Business U.S. House of Representatives Hearing on Increasing Competition, Reducing Costs, and Expanding Small Business Health Insurance Coverage Using the Private Reinsurance Market
More informationGreenlight Re. Rethinking Reinsurance
Greenlight Re Rethinking Reinsurance Forward Looking Statements This presentation contains forward-looking statements within the meaning of the U.S. federal securities laws. We intend these forward-looking
More informationHow To Determine The Profit Of A Pca
ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT REPORT ON THE ATTRIBUTION OF PROFITS TO PERMANENT ESTABLISHMENTS PART IV (INSURANCE) Revised public discussion draft 22 August 2007 CENTRE FOR TAX
More informationTexts passed by the European Council and Parliament Adapted by Member States
Introduction A few words about European Directives Texts passed by the European Council and Parliament Adapted by Member States Insurance law: What is going on? A draft directive under discussion = SOLVENCY
More informationDumfries Mutual Insurance Company Financial Statements For the year ended December 31, 2010
Dumfries Mutual Insurance Company Financial Statements For the year ended December 31, 2010 Contents Independent Auditors' Report 2 Financial Statements Balance Sheet 3 Statement of Operations and Unappropriated
More informationSchedule A TERRORISM RISK INSURANCE PROGRAM
Control Number (Treasury use) Schedule A TERRORISM RISK INSURANCE PROGRAM DECLARATION OF DIRECT EARNED PREMIUM AND CALCULATION OF INSURER DEDUCTIBLE UNDER TERRORISM RISK INSURANCE ACT (TRIA) Insurer or
More informationCat bonds and reinsurance: The competitive effect of information-insensitive triggers
Cat bonds and reinsurance: The competitive effect of information-insensitive triggers Silke Brandts (DZ Bank) Christian Laux (University of Frankfurt, CFS and ECGI) Innsbruck 1 Motivation Catastrophe (cat)
More informationAmerican Agricultural Insurance Company REINSURANCE BASICS A I CA
American Agricultural Insurance Company REINSURANCE BASICS A I CA REINSURANCE BASICS A I CA American Agricultural Insurance Company Suite 300W 1501 E Woodfield Rd Schaumburg, IL 60173 Suite 580 One Easton
More informationBasic Insurance Accounting Selected Topics
By Ralph S. Blanchard III, FCAS, MAAA 1 July 2008 CAS Study Note Author s Change to This Edition This edition of the study note is the same as the June 2007 edition except for the following change to the
More informationAustralian Accounting Standards Board (AASB)
FACT SHEET September 2011 1023 General Insurance Contracts (This fact sheet is based on the standard as at 1 January 2011.) Important note: This standard is an Australian specific standard with no international
More informationLife Insurance risk management in the Insurance company : CSOB case studies
Life Insurance risk management in the Insurance company : CSOB case studies Content Topics : case study Life Insurance risk management, 1. Life Insurance 2. Case study what is life insurance product and
More informationInsurance is an essential element in the operation of sophisticated national economies throughout the world today.
THE ROLE OF INSURANCE INTERMEDIARIES Introduction The importance of insurance in modern economies is unquestioned and has been recognized for centuries. Insurance is practically a necessity to business
More informationDagong Europe Proposed Criteria for Rating Insurance Companies 31 July 2013
Dagong Europe Proposed Criteria for Rating Insurance Companies 31 July 2013 Request for Comment Carola Saldías Senior Director Financial Institutions Analytical Team carola.saldias@dagongeurope.com Christina
More informationObjectives. 2- What types of loss potential are insurable and why? 3- How insurers protect against catastrophic loss through reinsurance?
INSURANCE 1 Objectives 1- What insurance is and how it works? 2- What types of loss potential are insurable and why? 3- How insurers protect against catastrophic loss through reinsurance? 4- What is meant
More informationCATASTROPHE REINSURANCE
CATASTROPHE REINSURANCE Understanding its Past, Present and Potential 25 May, 2012 Don Morrison Vice President Guy Carpenter & Company, Ltd. Toronto Catastrophe Reinsurance Agenda A Brief History of Reinsurance
More informationGLOSSARY. A contract that provides for periodic payments to an annuitant for a specified period of time, often until the annuitant s death.
The glossary contains explanations of certain terms and definitions used in this prospectus in connection with the Group and its business. The terms and their meanings may not correspond to standard industry
More informationMorgan Schaeffer. Swiss Insurance Club Insurance-Linked Securities: Overview 18. September 2008
Morgan Schaeffer Insurance-Linked Securities: Overview 18. Agenda Securitisations in general Structure & mechanisms Benefits to insurance companies Securitisations in general Definition Securitisation
More informationThe Right Prescription? Should Your Company's Medical Benefits Be Insured Through a Captive Insurance Company?
The Right Prescription? Should Your Company's Medical Benefits Be Insured Through a Captive Insurance Company? Kevin G. Fitzgerald and J. Michael Davis, Foley & Lardner LLP; and Troy M. Filipek and Travis
More informationINTRODUCTION TO REINSURANCE
INTRODUCTION TO REINSURANCE Presentation for Actuary Day University of California Santa Barbara April 25, 2014 CANTERBURY CONSULTING, LLC Overview of presentation Axioms and Definitions Purpose for reinsurance
More informationAviva Insurance Limited
Annual FSA Insurance Returns for the ended st December (Appendices 9.1, 9.2, 9.5, 9.6) Produced using BestESP Services - UK Year ended st December Contents Page Appendix 9.1 Form 1 Statement of solvency
More informationPrudential Practice Guide
Prudential Practice Guide GPG 240 Insurance Risk February 2006 www.apra.gov.au Australian Prudential Regulation Authority Disclaimer and copyright This prudential practice guide is not legal advice and
More informationACE Renewable Energy
ACE Renewable Energy Powering Insurance Solutions ACE Renewable Energy A Leading Provider of Insurance for Renewable Energy Production ACE USA specializes in Renewable Energy insurance solutions for diverse
More informationINSU 2500 Chapter 2. Insurance Principle. Ideally Insurable Loss Exposures. How Does an Insurance System Work
INSU 2500 Chapter 2 August 31 Insurance Principle Since not all exposures or risks are insurable - the redistribution process must be financially feasible and sustainable over a long period of time. So
More informationHannover Re - before and after the crisis. Roland Vogel CFO
Roland Vogel CFO Bank of America Merrill Lynch, 16th Annual Banking & Insurance CEO Conference London, 6 October 211 HR Group Diversification Opport. & cycle man. non-life R/I S'what different L/H R/I
More informationWealth Management or Risk Management the Future of Retirement Security. Wade Matterson
Wealth Management or Risk Management the Future of Retirement Security Wade Matterson Wealth Managers are faced with a significant shift in consumer needs as Baby Boomers enter the Retirement Risk Zone
More informationGLOSSARY OF REINSURANCE TERMINOLOGY
GLOSSARY OF REINSURANCE TERMINOLOGY Term Accident Year Experience Acquisition Costs Admitted (Authorized ) Admitted Assets Adverse Selection (Anti-Selection, Selection of Risk) Aggregate Aggregate Excess
More informationUnderstanding Captives and Alternative Risk Transfer
Understanding Captives and Alternative Risk Transfer Putting your insurance premiums to work for you Managing risk as you manage your bottom line What do Verizon, Coca-Cola, BP and most Fortune 500 sized
More informationAs shown in chapter 2, developing countries especially
6 Dealing with Natural Disaster Risks As shown in chapter 2, developing countries especially small developing countries are significantly more exposed than developed countries to natural disaster risks.
More informationMML Bay State Life Insurance Company Management s Discussion and Analysis Of the 2005 Financial Condition and Results of Operations
MML Bay State Life Insurance Company Management s Discussion and Analysis Of the 2005 Financial Condition and Results of Operations General Management s Discussion and Analysis of Financial Condition and
More informationPreparing for ORSA - Some practical issues Speaker:
2013 Seminar for the Appointed Actuary Colloque pour l actuaire désigné 2013 Session 13: Preparing for ORSA - Some practical issues Speaker: André Racine, Principal Eckler Ltd. Context of ORSA Agenda Place
More information