Our Experience with Primary and Reinsurance Brokers
Taylor & Mulder has extensive experience with reinsurance issues that has enabled us to offer important services to reinsurance brokers. Our actuaries have worked for some of the largest reinsurance companies in the world. Both in their work at reinsurers and as consultants, our actuaries are involved in pricing and reserving for reinsurance. We regularly evaluate the business consequences and the financial implications of reinsurance by providing ‘what if’ analyses for a variety of financial conditions. We analyze reinsurance agreements as to their effect on the financial well-being of both the retroceding and assuming companies. We are often asked to provide assistance with commutation and loss portfolio transfers. We have experience with pooling, fronting, and portfolio transfers for property and casualty insurance companies and reinsurers. We have experience with program business evaluations including the implementation of the specifically tailored rate level change controls.
Our Services to Primary and Reinsurance Brokers
Taylor & Mulder professionals review, interpret and analyze reinsurance contracts as to the impact on pricing or reserving. Taylor & Mulder assist reinsurance brokers in reinsurance pricing using experience and exposure rating for excess of loss treaties. We evaluate and compare different reinsurance strategies and their financial implications, perform financial analysis and planning, and give loss reserve opinions.
We perform analyses of reinsurance contracts with respect to compliance with standards set for by the National Association of Insurance Commissioners (“NAIC”), as set forth in Chapter 62 of the Statement of Statutory Accounting Principles (“SSAP 62”), and in accordance with Financial Accounting Standards Board (“FASB”) Standard 113 (“FAS 113”) with respect to risk transfer. Taylor & Mulder is also equipped to evaluate and measure the impact of swing rated provisions in reinsurance contracts including evaluations of the appropriateness of loss development factors contained in the contract. Taylor & Mulder can ascertain appropriate levels of collateral required under the contract (whether funds withheld, trust funds, LOCs, etc.).
We have the capability to accurately calculate premium adjustments and retrospective premiums for property and casualty insurance companies and reinsurers. Taylor & Mulder provides similar services for primary brokers such as expertise with loss forecasting, retention analysis, benchmarking studies, feasibility studies for captive formation, pro forma financial statements for captives, cash flow modeling, development of proprietary models, and individual risk rating.
Taylor & Mulder’s other services to brokers include:
- Pricing by line of business and by account
- Evaluation of reserve adequacy
- Individual risk analysis
- Overall program evaluation
- Individual risk rating
- Feasibility studies