Forms of REINSURANCE in Usa. Learn to Reduce your Premium!

On the list of primary resources for use in underwriting property and liability risks are:
(1) Information contained in the application;
(2) Dunn and Bradstreet;
(3) Mechanical and electrical engineers’ reports. Other sources range from the selected services discussed below
(4) Check your car insurance

The hearth Marshal Reporting Service. This particular service (FMRS) reports to fireplace marshals in 27 states burning claims its members have paid. In addition, the FMRS maintains an index on reported fire losses in most state which any member are able to use to look for the prior loss record of a claimant.

The Burglary and Theft Loss Index. Use of the Burglary and Theft Loss Index enables a member to detect simultaneous claims on the same item or a claim on a loss that the claimant has previously been reimbursed.
The nation’s Automobile Theft Bureau. This can be a service organization sponsored, operated, and supported by approximately 500 insurance providers writing automobile, fire and theft insurance. The Bureau assists within the recovery of stolen automobiles, investigates automobile and theft losses which may be fraudulent, and promotes programs made to prevent or reduce such losses.

The Index System. The Index System accumulates and makes available for the subscribers records concerning third-party personal and bodily injury claims.
Inside the processing of claims, the indexes with the American Insurance Association (AIA) might be checked to ascertain whether or not the claimant has received a series of losses or is submitting claims for a similar loss with other companies.


REINSURANCE

Reinsurance is only a transaction between insurance providers by which risk exposures are redistributed. As it happens, reinsurance might be understood to be the “insurance of insurance.”7 Reinsurance is a crucial arrangement utilized to spread or layer the liability on high volume risks. The Reinsurance Facilities Corporation reported that more than 20 insurers, including re insurers, were associated with covering the grain elevator explosions that occurred in the U.S. in 1977, when 54 persons were killed and $50 million in damage to property was caused. More than 120 insurers were associated with covering damage completed in 1979 to Pennsylvania’s Three Mile Island nuclear power plant, insured in excess of $300 million.7 http://www.insurance.va.gov/miscellaneous/index.htm
Reinsurance involves a change in risk in one insurance carrier to another. The company that originally issues anything is the direct writer or ceding company. The organization agreeing to accept all or included in the risk is the re insurer.