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    Reinsurance: Management and Accounting

    Success or failure? Your knowledge can make the difference.

    Reinsurance agreements can have a tremendous impact on your company’s profitability, yet many insurance executives don’t understand this complex discipline well enough to manage agreements to their company’s advantage.

    Gain the skills and knowledge you need to optimize your reinsurance agreements, while protecting your company from undue risk, at the University of Wisconsin’s “Reinsurance: Management and Accounting” course.

    During this rigorous three-day course, you’ll work with leading university faculty and insurance industry experts in a highly participative environment.

    Learn how to work with reinsurance brokers to get the backing your company needs, without exposing it to undue risks.

    In the “Reinsurance: Management and Accounting” course, we’ll cover:

    • Types and content of agreements. Whether you’re ceding or assuming coverages, we’ll help you analyze, monitor and create more effective reinsurance programs.
    • How to work with reinsurance brokers. Knowledge is power. We’ll discuss both theoretical and practical reinsurance issues and show you how to get the backing your company needs without exposing it to undue risk.
    • The latest reinsurance terminology, principals and techniques. Gain comfort and confidence when dealing with reinsurance questions and structuring reinsurance agreements, and become your firm’s go-to resource for this complex, critical area.

    Who should attend?

    This course is specifically designed to meet the needs of professionals who are responsible for creating and/or managing their company’s reinsurance agreements.

    Bonus!

    Each course participant will receive a reinsurance resource guide. This multi-volume reference set was developed specifically for course participants. It captures much of the key content discussed during the course and will be an invaluable resource as you manage this complex function.

    Reinsurance relationships: an overview

    • Characteristics and terms
    • Purpose, types, forms and uses of reinsurance
    • The unique reinsurance interpretations of good faith and “follow the fortunes”

    Treaties

    • Learning how they work — the intent of involved parties vs. actual results
    • Reviewing contract wording
    • How to develop treaty abstracts (using a case study focus)
    • Procedures for accounting and analysis of treaty business
      -How to monitor and manage reinsurance
      -Accounting and auditing for quota share and excess-of-loss treaties

    Accounting and reporting

    • FASB 113 and SSAP #61 and #62
    • Risk transfer in reinsurance contracts
    • Statutory accounting concerns
    • Deposit accounting overview
    • Internal and external reporting

    Reinsurance auditing

    • Types and objectives of reinsurance audits: financial/transactional, claims, underwriting and operational audits
    • Reinsurance internal control reviews
    • Audit examples for internal and external reporting
    • When reinsurance audits should be performed
    • The most effective way to conduct a reinsurance audit

    How and what to audit in Bordereaux and summary reports

    • Inherent problems in Bordereaux
    • Closing an EDP format

    Reinsurance claims

    • Reporting to reinsurers, notice of loss, clarity of reports
    • Environmental exposures: a reinsurance perspective
    • Effects on financial reporting

    Intermediaries and third parties

    • Functions of a broker
    • Managing general agents

    Solvency issues

    • Tools used to evaluate companies
    • Reviewing the annual statement

    Regulatory issues

    Legal development update

    • Arbitration/litigation issues

    Reinsurance best practices

    Evan D. Bennett is the director of reinsurance consulting with Blackman Kallick Bartelstein LLP in Chicago, Ill. He has over 25 years of experience in both the property and casualty and the life and health insurance and reinsurance industries. Evan has been involved with numerous insurance and reinsurance projects, including reinsurance audits, reinsurance contract and risk transfer analysis, and operational and financial reviews. He also has served as an expert witness and consultant on various arbitration and litigation projects throughout his consulting career. Evan has authored/co-authored several articles on reinsurance audit/accounting issues for various industry publications, has served as the chairperson of the Illinois CPA Foundation Insurance Companies Special Interest Group and has spoken at numerous industry conferences. He is also a member of the Society of Insurance Financial Management, and an affiliate member of the Illinois CPA Society.

    Alan J. Kadon, CPCU, has worked in the insurance industry for nearly 30 years. He currently has a consulting practice in Chicago that specializes in audits, collections, commutations, litigation support, reinsurance claims, and reinsurance systems support. Kadon has worked for several large property and casualty companies in developing, implementing and monitoring claim and premium processing systems for both personal and commercial lines of business, and has served as acting general manager, vice president, and chief financial officer of a mid-size carrier. He has a background in environmental insurance issues and has helped numerous companies to evaluate and quantify their asbestos and environmental exposures.