Reinsurance
Reinsurance is like insurance for insurance companies. When insurance companies want to protect themselves from very large claims or disasters, they buy reinsurance. Think of it as spreading risk - just like people buy insurance to protect themselves, insurance companies buy reinsurance to protect their business. This helps them stay financially stable and take on more customers. The field includes different types like treaty reinsurance (covering entire portfolios) and facultative reinsurance (covering specific risks). It's a crucial part of how the global insurance market works.
Examples in Resumes
Managed Reinsurance treaties worth $50M in premium volume
Negotiated Reinsurance contracts with major international carriers
Analyzed Reinsurance program structures and recommended cost-saving improvements
Typical job title: "Reinsurance Professionals"
Also try searching for:
Where to Find Reinsurance Professionals
Professional Associations
Job Boards
Industry Events
Example Interview Questions
Senior Level Questions
Q: How would you evaluate the financial strength of a reinsurance program?
Expected Answer: A senior professional should discuss analyzing retention levels, treaty structures, reinsurer ratings, and how to balance cost versus coverage. They should mention experience with different markets and understanding of regulatory requirements.
Q: Describe a challenging reinsurance negotiation you've handled.
Expected Answer: Should demonstrate experience in complex treaty negotiations, understanding of market cycles, and ability to balance multiple stakeholder interests while achieving favorable terms.
Mid Level Questions
Q: What are the main types of reinsurance arrangements?
Expected Answer: Should explain treaty vs facultative reinsurance in simple terms, proportional vs non-proportional coverage, and when each type is most appropriate.
Q: How do you determine appropriate retention levels?
Expected Answer: Should discuss analysis of company's risk appetite, financial strength, portfolio composition, and market conditions in determining how much risk to keep versus transfer.
Junior Level Questions
Q: What is the purpose of reinsurance?
Expected Answer: Should explain how reinsurance helps insurance companies manage risk, increase capacity, and maintain financial stability in simple terms.
Q: Explain the basic reinsurance renewal process.
Expected Answer: Should describe the annual cycle of gathering exposure data, preparing submissions, marketing to reinsurers, and finalizing contracts.
Experience Level Indicators
Junior (0-2 years)
- Basic understanding of insurance and reinsurance concepts
- Data gathering and analysis
- Contract review and documentation
- Basic treaty administration
Mid (2-5 years)
- Treaty analysis and structuring
- Relationship management with clients and markets
- Risk assessment and pricing
- Claims handling and settlement
Senior (5+ years)
- Complex program design and optimization
- Strategic planning and market analysis
- Team leadership and mentoring
- High-level negotiation skills
Red Flags to Watch For
- No understanding of basic insurance principles
- Lack of analytical skills or attention to detail
- Poor communication skills (essential for client interaction)
- No knowledge of regulatory requirements in insurance
