Captives - Does My Reinsurer Have to Pay?

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Captives - Does My Reinsurer Have to Pay?

One of the major benefits of establishing a captive is that it is able to gain direct access to the international reinsurance markets. Reinsurers are usually content to reinsure captives provided the terms and conditions of the reinsurance are satisfactory from their perspective.

In view of the concerns of reinsurers about the independence of the captive when handling claims it is common for reinsurers to insist that the reinsurance contains a claims control or co-operation...

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