Reinsurance 101: Basics For Insurance BuyersReinsurance is like the weather. Many of us talk about it, but mostcant do much to change it.
Just as the weather often is blamed for a shift in our plans,reinsurance has been shouldering much of the blameor praise in somecasesfor a return to underwriting standards and pricing levels thathave been pretty much nonexistent for the last 10 years or so.
Despite the reemergence of reinsurance as the heavy in thecurrent hard market drama, some insurance buyers say they missedthe chapter on reinsurance in “Insurance 101,” so here are a few ofthe basics of traditional reinsurance.
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