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Simply put, reinsurance is insurance for insur-
ance companies. It is a type of financing used by insurance companies to manage risk, stabilize results, venture into new business lines and exit from unprofitable lines. Reinsurance protects insurers against unforeseen or extraordinary losses. In a world of risk and uncertainty, there will always be a demand for reinsurance.
A multi-billion dollar global industry, reinsurance plays a key role in global economic growth and recovery from catastrophic events. By enabling the effective spread of risk among many companies, reinsurance stabilizes financial markets and facilitates continuity for businesses and people worldwide.
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