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Chapter 1 Purpose of and the parties involved in reinsurance 1/19 Chapter

Reinsurance brokers 1
• The broker involved in a reinsurance transaction brings parties together that wish to enter into a reinsurance
contract.
• The broker is usually acting for the party seeking reinsurance but might also be acting for the seller if, for example,
the broker has been given a measure of authority to underwrite and accept risks.
• Brokers acquire business in a number of different ways, including direct approaches to potential clients and through
developing innovative new types of contracts; business can also be obtained from other brokers.
• Brokers place business both in local markets and internationally.
• In addition to their core business of placing reinsurance they offer a number of ancillary services including:
– preparing and collecting claims;
– providing market intelligence;
– arranging reciprocity;
– managing general agents
– checking the security offered by reinsurers;
– providing documentary and analytical services; and
– providing risk management. Reference copy for CII Face to Face Training