Reinsurance plan

The managing agent's reinsurance strategy is expected to clearly define its approach to managing the reinsurance process.

The managing agent should regularly review its reinsurance arrangements to ensure that:
  • All significant risks related to the arrangements, and the residual risks borne by the firm, have been identified. 
  • Appropriate risk mitigation techniques have been applied to manage and control those risks.
  • There is full and regular analysis of the effect of the reinsurance plan on its exposure to insurance risk, its underwriting strategy and business plan, and its ability to meet regulatory obligations.
  • Specific consideration has been given to the risks associated with the use of shared reinsurance arrangements.

All material amendments or adaptations to the reinsurance arrangements should be reported to the managing agent’s board, the relevant underwriters, and to Lloyd's.

The managing agent is expected to report its reinsurance arrangements to Lloyd's in accordance with the requirements of the Syndicate Reinsurance Return.
Last updated on 03 May 2007