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Models

Insurance Claim for Reinsurance

This model enables an insurance company to analyze the possibility of being reinsured. Without reinsurance, the company pays all claims, net of deductibles, for its policy holders. With reinsurance, it pays a fixed premium to another insurance company, the reinsurer. There is a reinsurance deductible. If the company's liability for all claims, net of deductibles, is less than this deductible, the company is liable for all of it. However, if this liability is greater than the reinsurance deductible, the company is liable only for the deductible; the reinsurer pays the rest._x000D_

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