Reinsurance Principles and Practice Training Course

Reinsurance Principles and Practice Training Course

Overview of the Course

This comprehensive five-day training course on Reinsurance Principles and Practice is designed to provide participants with a thorough understanding of the global reinsurance market, its core concepts, and practical applications. From the fundamental reasons for reinsurance to advanced strategic considerations, this course covers the entire spectrum of how insurers manage risk transfer, enhance financial stability, and optimize their capital. Participants will gain crucial insights into the mechanisms that underpin the global insurance industry's resilience.

Throughout the course, participants will delve into essential topics such as various types of reinsurance, including both treaty and facultative arrangements. The curriculum also explores critical areas like pricing, underwriting, claims management, and the financial and accounting aspects unique to reinsurance. Additionally, the course provides in-depth coverage of the regulatory and legal frameworks governing reinsurance, introduces current market dynamics and emerging trends, and concludes with an exploration of strategic reinsurance management for long-term success.


Who Should Attend the Training

  • Insurance Professionals
  • Underwriters
  • Claims Managers
  • Actuaries
  • Risk Managers
  • Finance and Accounting Personnel in Insurance/Reinsurance
  • Regulators
  • Legal Professionals in the Insurance Sector
  • Anyone seeking a comprehensive understanding of reinsurance

Objectives of the Training

Upon completion of this training, participants will be able to:

  • Understand the fundamental purpose and role of reinsurance in risk management.
  • Differentiate between various types of reinsurance arrangements, including treaty and facultative.
  • Analyze the key components and clauses of common treaty reinsurance contracts.
  • Evaluate the specific characteristics and uses of facultative reinsurance.
  • Grasp the principles of reinsurance pricing and underwriting.
  • Navigate the processes of claims handling and commutations in reinsurance.
  • Understand the financial and accounting implications of reinsurance transactions.
  • Identify the key regulatory and legal considerations impacting reinsurance operations.
  • Recognize and adapt to emerging trends and dynamics within the global reinsurance market.
  • Apply strategic thinking to optimize reinsurance programs for organizational benefit.

Personal Benefits

  • Deepened Expertise: Gain a robust understanding of reinsurance, a complex but vital financial sector.
  • Enhanced Career Prospects: Open doors to specialized roles within insurance and reinsurance.
  • Improved Decision-Making: Better assess and manage risk transfer strategies for your organization.
  • Networking Opportunities: Connect with peers and experts in the reinsurance field.
  • Increased Confidence: Feel more assured when discussing and structuring reinsurance agreements.

Organizational Benefits

  • Optimized Risk Management: Develop more effective strategies for capital protection and risk transfer.
  • Improved Financial Stability: Contribute to the resilience and solvency of the organization.
  • Cost Efficiency: Better understand and negotiate reinsurance terms, leading to potential savings.
  • Compliance Assurance: Ensure reinsurance practices align with regulatory requirements.
  • Strategic Growth: Support informed decision-making for business expansion and new product development.

Training Methodology

This course employs a dynamic and interactive training methodology designed for maximum engagement and practical application.

  • Interactive Lectures: Concise presentations of theoretical concepts, reinforced with real-world examples.
  • Hands-on Exercises: Practical sessions where participants apply learned concepts through case studies and calculations.
  • Group Discussions: Collaborative learning opportunities to share insights and troubleshoot challenges.
  • Case Studies: Analysis of real or hypothetical reinsurance scenarios to understand practical application and decision-making.
  • Practical Sessions: Dedicated time for guided application of principles to structure, analyze, or evaluate reinsurance solutions.

Trainer Experience

Our trainers are seasoned reinsurance professionals with extensive experience in both practical market operations and delivering specialized training. They possess deep industry knowledge, having worked in various capacities such as underwriters, brokers, actuaries, or claims specialists for leading global reinsurance firms. Their expertise ensures that participants receive not only theoretical grounding but also invaluable practical insights, best practices, and real-world perspectives gained from years of navigating complex reinsurance transactions and market dynamics.


Quality Statement

We are committed to delivering high-quality training that meets and exceeds participant expectations. Our courses are continuously updated to reflect the latest advancements, regulatory changes, and industry best practices in the global reinsurance market. We strive to create an engaging and supportive learning environment, ensuring that every participant gains valuable, actionable skills that can be immediately applied in their professional roles. Your learning success is our priority.


Tailor-made Courses

Recognizing that every organization has unique needs, we offer customized training solutions. If your team requires specific topics, a different duration, or a particular focus within reinsurance principles and practice, we can develop a tailor-made course curriculum that directly addresses your objectives and challenges. Contact us to discuss your bespoke training requirements.


 

 

Course Duration: 5 days

Training fee: USD 1300

Module 1: Fundamentals of Reinsurance

  • Definition and Purpose of Reinsurance: Why insurers need reinsurance.
  • Key Players in Reinsurance: Ceding company, reinsurer, broker.
  • Benefits of Reinsurance: Capital relief, solvency, capacity, stability.
  • The Reinsurance Contract: Basic elements and principles.
  • Overview of the Global Reinsurance Market: Structure and trends.
  • Practical session: Analyzing hypothetical scenarios to determine the necessity and benefits of reinsurance for a primary insurer.

Module 2: Types of Reinsurance

  • Proportional Reinsurance: Quota Share, Surplus.
  • Non-Proportional Reinsurance: Excess of Loss (XL), Stop Loss.
  • Facultative vs. Treaty Reinsurance: Key distinctions and applications.
  • Hybrid Reinsurance Structures: Blending different approaches.
  • Alternatives to Traditional Reinsurance: Cat bonds, ILS.
  • Practical session: Classifying various reinsurance agreements based on their proportional/non-proportional and facultative/treaty characteristics.

Module 3: Treaty Reinsurance

  • Quota Share Treaties: Mechanics, advantages, and disadvantages.
  • Surplus Treaties: Structure, retention limits, and application.
  • Treaty Wording and Clauses: Essential contract provisions (e.g., bordereaux, errors and omissions).
  • Underwriting a Treaty: Assessing the portfolio risk.
  • Treaty Negotiation and Placement: Key considerations for both cedant and reinsurer.
  • Practical session: Drafting a simplified quota share treaty agreement, outlining key terms and conditions.

Module 4: Facultative Reinsurance

  • Purpose and Application of Facultative Reinsurance: Large risks, unusual risks.
  • Single Risk Placement: Process and negotiation.
  • Facultative Certificate/Slip: Key information and legal standing.
  • Advantages and Disadvantages of Facultative Reinsurance: Flexibility vs. administration.
  • Facultative Reinsurance in Specific Lines of Business: Property, liability, marine.
  • Practical session: Evaluating a complex individual risk and determining the appropriate facultative reinsurance placement strategy.

Module 5: Pricing and Underwriting in Reinsurance

  • Reinsurance Underwriting Process: Risk assessment and selection.
  • Pricing Methodologies for Proportional Treaties: Profit commissions, ceding commissions.
  • Pricing Methodologies for Non-Proportional Treaties: Exposure rating, experience rating.
  • Actuarial Principles in Reinsurance Pricing: Loss development, trend analysis.
  • Market Cycles and Pricing: Hard and soft markets.
  • Practical session: Calculating the expected cost of a simple excess of loss cover using provided loss data.

Module 6: Claims Management and Commutations

  • Reinsurance Claims Notification and Handling: Procedures and timelines.
  • Loss Development and Reserving: Estimating ultimate claims costs.
  • Subrogation and Salvage in Reinsurance: Recovery mechanisms.
  • Reinsurance Commutations: Definition, purpose, and negotiation.
  • Dispute Resolution in Reinsurance: Arbitration and litigation.
  • Practical session: Analyzing a complex reinsurance claim scenario and outlining the steps for effective claims management and potential commutation.

Module 7: Reinsurance Accounting and Finance

  • Reinsurance Premiums and Ceding Commissions: Accounting entries.
  • Reinsurance Recoverables: Assets and liabilities.
  • Statutory vs. GAAP Accounting for Reinsurance: Key differences.
  • Impact of Reinsurance on Financial Statements: Balance sheet and income statement effects.
  • Capital Management and Solvency: The role of reinsurance in regulatory frameworks (e.g., Solvency II).
  • Practical session: Interpreting excerpts from a ceding company's financial statements to identify reinsurance impacts.

Module 8: Regulatory and Legal Aspects of Reinsurance

  • International Reinsurance Regulation: Overview of global frameworks.
  • Domestic Reinsurance Regulation: Key requirements and oversight bodies.
  • Contract Law Principles in Reinsurance: Utmost good faith, insurable interest.
  • Reinsurance Arbitration Clauses: Importance and enforcement.
  • Sanctions and Compliance: Navigating geopolitical risks in reinsurance.
  • Practical session: Reviewing a mock regulatory filing to identify compliance requirements for reinsurance arrangements.

Module 9: Emerging Trends and Market Dynamics

  • Impact of Climate Change and Catastrophes: Role of reinsurance in resilience.
  • Technological Disruptions: AI, Big Data, Blockchain in reinsurance.
  • Consolidation and M&A in the Reinsurance Sector: Market implications.
  • Alternative Capital and Insurance-Linked Securities (ILS): Growth and influence.
  • Cyber Risk Reinsurance: Challenges and developing solutions.
  • Practical session: Discussing the potential impact of a new technological advancement (e.g., AI in underwriting) on the reinsurance market.

Module 10: Strategic Reinsurance Management

  • Developing a Reinsurance Strategy: Aligning with organizational goals.
  • Portfolio Optimization through Reinsurance: Balancing risk and return.
  • Reinsurance Program Design: Tailoring solutions to specific needs.
  • Relationship Management: Building strong partnerships with reinsurers and brokers.
  • Reinsurance as a Capital Management Tool: Advanced applications.
  • Practical session: Designing a strategic reinsurance program for a hypothetical insurer, considering its risk appetite and business objectives.

Requirements:

·       Participants should be reasonably proficient in English.

·       Applicants must live up to Armstrong Global Institute admission criteria.

Terms and Conditions

1. Discounts: Organizations sponsoring Four Participants will have the 5th attend Free

2. What is catered for by the Course Fees: Fees cater for all requirements for the training – Learning materials, Lunches, Teas, Snacks and Certification. All participants will additionally cater for their travel and accommodation expenses, visa application, insurance, and other personal expenses.

3. Certificate Awarded: Participants are awarded Certificates of Participation at the end of the training.

4. The program content shown here is for guidance purposes only. Our continuous course improvement process may lead to changes in topics and course structure.

5. Approval of Course: Our Programs are NITA Approved. Participating organizations can therefore claim reimbursement on fees paid in accordance with NITA Rules.

Booking for Training

Simply send an email to the Training Officer on training@armstrongglobalinstitute.com and we will send you a registration form. We advise you to book early to avoid missing a seat to this training.

Or call us on +254720272325 / +254725012095 / +254724452588

Payment Options

We provide 3 payment options, choose one for your convenience, and kindly make payments at least 5 days before the Training start date to reserve your seat:

1. Groups of 5 People and Above – Cheque Payments to: Armstrong Global Training & Development Center Limited should be paid in advance, 5 days to the training.

2. Invoice: We can send a bill directly to you or your company.

3. Deposit directly into Bank Account (Account details provided upon request)

Cancellation Policy

1. Payment for all courses includes a registration fee, which is non-refundable, and equals 15% of the total sum of the course fee.

2. Participants may cancel attendance 14 days or more prior to the training commencement date.

3. No refunds will be made 14 days or less before the training commencement date. However, participants who are unable to attend may opt to attend a similar training course at a later date or send a substitute participant provided the participation criteria have been met.

Tailor Made Courses

This training course can also be customized for your institution upon request for a minimum of 5 participants. You can have it conducted at our Training Centre or at a convenient location. For further inquiries, please contact us on Tel: +254720272325 / +254725012095 / +254724452588 or Email training@armstrongglobalinstitute.com

Accommodation and Airport Transfer

Accommodation and Airport Transfer is arranged upon request and at extra cost. For reservations contact the Training Officer on Email: training@armstrongglobalinstitute.com or on Tel: +254720272325 / +254725012095 / +254724452588

 

Instructor-led Training Schedule

Course Dates Venue Fees Enroll
Sep 22 - Sep 26 2025 Zoom $1,300
Sep 15 - Sep 19 2025 Kampala $1,300
Nov 03 - Nov 07 2025 Kigali $1,300
Oct 20 - Oct 24 2025 Dubai $1,300
Sep 29 - Oct 03 2025 Cape Town $1,300
Oct 13 - Oct 17 2025 Nanyuki $1,300
Dec 08 - Dec 12 2025 Pretoria $1,300
Sep 22 - Sep 26 2025 Kisumu $1,300
Oct 27 - Oct 31 2025 Nakuru $1,300
Sep 15 - Sep 19 2025 Naivasha $1,300
Nov 10 - Nov 14 2025 Arusha $1,300
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