13.07.2015 Views

Financial Reinsurance

Financial Reinsurance

Financial Reinsurance

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Defining <strong>Financial</strong> <strong>Reinsurance</strong>• <strong>Financial</strong> <strong>Reinsurance</strong> is specificallydesigned to help an insurer manage itscapital and statutory earnings by passing riskand the associated capital strain to thereinsurer.• <strong>Financial</strong> reinsurance is not a loan. Thereinsurer can recover its capital only from thefuture profits of the reinsured block.7Uses and Benefits of<strong>Financial</strong> <strong>Reinsurance</strong>84

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