P561 - REINSURANCE MANAGEMENT (NON-LIFE)

Background

The need for reinsurance for enhancing the capacity and stability of insurance companies is adequately realized by all insurance managers.  The programme is intended as re-orientation to the broad principles of reinsurance, its functions, its role in enabling insurance companies to assume risks, make use of various techniques of reinsurance, principles governing placement and acceptance of reinsurance covers, drawing up of different types of reinsurance programmes and also reinsurance accounting and settlement procedures, practice of reinsurance in international markets, financial implications of reinsurance on ultimate underwriting results  The whole gambit of RI programme designing with hands on or discussion of the practical difficulties and solutions and its contribution to augmentation of financial reserves / strengths of  direct insurers in view of the emerging trend. 

 

Objectives 

The programme aims to acquaint participants with

   Various mechanisms and methodologies of reinsurance

   Principles and practices of reinsurance accounting

   International market scenario and its impact on the RI programme

 Contents

   Introduction & Fundamentals of Reinsurance - Proportional; Non Proportional; Facultative Reinsurance

   Understanding of concepts Retrocession, Admitted / Non Admitted countries,  fronting, overriding commission, DIC /  DIL

   Importance of PML in RI placement & Calculation of U/W capacity as per GIC norms

   Brief introduction to reinsurance underwriting

   Calculation of Facultative requirements in Large risks

   Placement of risk at Differential terms / Funding of risk

   Placement under proportional & non-proportional treaty

   Legal wordings and clauses in reinsurance contracts

   Basic accounting of RI placement under proportional and non-proportional treaty & recoveries of claim

   Treaty terms, rules for mid-term cancellation, operational working with payment of premium & recovery of claims on day to day basis, importance of Bordereau

   Working out premium adequacy under non-proportional treaty 

   Layering of reinsurance under non-proportional treaty & premium allocation for Excess layers

   Global Programmes - Introduction & Understanding the concepts, Methodology, & working of Programme in India

   Brief introduction to international reinsurance markets

   Alternatives to Reinsurance - alternative markets, pools, etc.

   Role of Intermediaries in Reinsurance market

 Participants Profile 

Officials from Reinsurance department, Technical department of Head Office, Regional Offices, Operating Offices of Indian and foreign public & private sector General Insurance Companies

Duration:        3 days

 Dates:            10.11.2021-12.11.2021