There is considerable diversity among the ceded reinsurance solutions offered to primary insurers today. Celent describes how primary insurers should be seeking the best fit.
There is increasing interest among primary insurers in reinsurance solutions that provide recordkeeping and execution capabilities to make reinsurance programs provide the value they were designed to provide. In a new report, Ceded Property/Casualty Reinsurance Solution Spectrum, Celent profiles 10 ceded reinsurance solutions from nine vendors. The report looks at the solutions’ functionality, technology, customer base, and geographic footprint.
A ceded reinsurance system has six core elements: contract administration, underwriting support, a premiums and commissions calculation engine, a claims calculation engine, technical accounting functionality, and financial accounting functionality.
“An insurer looking for a ceded reinsurance solution, needs to understand its own business drivers as well as how prospective vendors’ technology responds to those drivers,” says Donald Light, Senior Analyst with Celent’s Insurance Group and author of the report.
