Programme Design & Testing

Programme design and testing

Risk transfer is a fundamental aspect of insurance and reinsurance operations. Reinsurance purchase is often a business’ single largest operational cost and it is critical to establish that the programme is likely to perform as intended.

The key to understanding reinsurance operations is to create a well-calibrated model of the gross portfolio. With this step achieved, it is relatively straightforward to establish the risk transfer characteristics of alternative reinsurance strategies.

Reinsurance programmes can be highly complex, and appropriate technical tools are required to construct accurate models. The range of simulation software at our disposal is second to none in this field and, as independent consultants, we are not affiliated to any reinsurance brokers and our advice is unbiased and objective.

We have modeled reinsurance programmes extensively, both for existing, old-years’ business, planning prospective risk transfer strategies for on-going operations and new start-ups.