1. By: SERGIO RUY BARROSO DE MELLO
PRINCIPLES AND RULES OF LAW APPLICABLE TO INTERNATIONAL REINSURANCE CONTRACTS
PRICL
By: SERGIO RUY BARROSO DE MELLO

2. Transnational Insurance Law: Principles of Reinsurance Contract Law
(PRICL)

3. Introduction
The University of Zurich, with the support from the Swis National Funds, the Austrian Science Funds and the German Research Foundation, created a group of prestigious experts worldwide to draft principles and rules of law applicable to reinsurance contracts, that are expected to be converted into reference to the resolution of conflicts between insurers and reinsurers at a global level.
The Project was referred to as PRICL (the abbreviation for Principles of Reinsurance Contract Law), so that we shall take the liberty to use this expression herein.

4. Meaning of PRICL 
PRICL is a set of not-binding principles of private law that may apply to reinsurance contracts.
Its purpose is to offer to the international insurance and reinsurance sectors some technical and legal elements that are able to provide legal certainty to contrating parties to reinsurance contracts.

5. Why opting for PRICL?
PRICL appears as a comprehensive soft law integrated by relatively uniform reinsurance terms, and accompanied by explanatory comments that illustrate the application thereof to typical cases.
The outcome of legal disputes about the meaning of the terms under reinsurance contracts becomes much more predictable, given that the parties opted for PRICL as the law aplicable to reinsurance contracts.

6. EFFECTIVENESS OF PRICL

7. Limits to the effectiveness of PRICL
PRICL shall be effective, whenever the parties benefit from its autonomy to insert it into reinsurance contracts.
Whereas the term “rules of law” also encompasses provisions other than the traditional ones, PRICL shall appear as a qualified set of rules and principles that can be agreed upon by the parties.

8. NON-MANDATORY RULES

9. PRICL provides a set of non-mandatory rules
Whenever the parties opt for PRICL, they shall not be required to agree upon it in its whole, being, instead, entitled to alter it according to their interests, in the reinsurance contract itself. This arises from the fact the PRICL is not mandatory at all.
In addition, the preamble of PRICL contemplates such autonomy for the parties.

10. USAGES
AND CUSTOMS

11. Usages and customs
In the light of the principle of freedom of contract, the parties can agree upon the application of any specific usage.
In this respect, usages and customs can be applied to the contract regardless of their conformity to PRICL, as this latter ensures and acknolwdges the sovereign wish of the parties.
Whenever the parties do not agree upon the application of a certain usage or custom, PRICL shall recognize such intention and shall prohibit the use thereof.

12. Construction and complementation of PRICL
PRICL should be construed in the light of its text, of its context, purpose and international feature.
Its purpose is to promote contractual good faith within the reinsurance sector, the legal certainty in contractual relationships and a uniform application of its principles and rules.
Nonetheless, the issues encompassed within PRICL scope of application are not expressly resolved by it, but in compliance with the principles from the aplicable local law or with the intention manifested by the contracting parties, as possible.

13. Participants to Pricl Leading members
Heiss Helmut, Prof. Dr. University of Zurich 
Schauer Martin, Prof. Dr. University of Vienna
Schnyder Anton K., Prof. Dr. University of Zurich
Wandt Manfred, Prof. Dr. University of Frankfurt am Main

14. Participants to Pricl Effective members
Acanfora Rosaria Teresa (Generali France)
Sergio Ruy Barroso de Mello (Prof. Escuela Nacional de Seguros y Fundación Getúlio Vargas – Brasil)
Basedow Jürgen, Prof. Max-­Planck-­Institut, Hamburgo
Bell Christopher (Attorney - Sweden)
Bork Kevin (University of Frankfurt)
Carty Patrick Zurich (Global Life North America - General Counsel)
Cerini Diana, Prof. Università degli Studi di Milano - Itália
Cousy Herman, Prof. University of Leuven - Belgiuma
Deighton Andrew (Qatar Re - Global Head of Claims)
Ebert Ina (Munich Re - Leading Expert Liability and Insurance Law)
Estrella Faria José Angelo (International Institute for the Unification of Private Law
(UNIDROIT), Secretary General
Felderer Christian (Chair Advisory Group Reinsurers)
Gal Jens, Prof. University of Frankfurt
Grau Juan Bataller, Prof. Universidad Politécnica de Valencia
Han Yong Qiang (National University of Singapore)
 Horvath Adam (University of Vienna)
Kozuka Souichirou (Gakushuin University)
Kuitunen Lari (Sampo Group Finland - Manager Reinsurance)
Kullmann Jérôme (Université Paris Dauphine)
Kuschke Birgit (University of Pretoria)
Lang Christian (Swiss Re - Senior Claims Expert, Property and Casualty
Business Management)
Loacker Leander (University of Zurich)
Marinacci Alessio (Università degli Studi di Milano Bicocca)
Nakaide Satoshi (Waseda University)
Prickett Julie (AXA Global Life - General Counsel & Head of Compliance)
Pruitt John S. (Attormey – England)
Rouvray-­Kampe Melanie (Hannover Re - Senior Legal Counsel)
Schumacher Katrin (Hannover Re)
Stalder Pirmin (Zurich Insurance, Senior Legal Counsel)
Stempel Jeffrey W. (University of Nevada, Las Vegas)
Van der Klugt Kees (Lloyd’s Market Association, Director Legal and Compliance)
Wedge Peter (Swiss Re - Senior Contracts Specialist)
William Oliver (University of Zurich)

15. Participants to Pricl Invited Members
Barry’ Ute (SCOR - Senior Legal Counsel)
Becker Michel (Generali France
Butten Christopher (Aon Benfield - Reinsurance Contract Specialist)
Cao Shunming (China Re, Chief Legal Officer)
Cho Patrick (Korean Re - Assistant Manager)
Clarke Malcolm A. (University of Cambridge)
Dalziel Helen (International Underwriting Association, Secretary of the
Technical Committee)
Dobiáš Petr, Dr. Charles (University Prague)
Goto Gen (University of Tokyo)
Goulder Nick (Willis Tower Watson - International Casualty Director)
Hengye Guan (China Re - Internal Control and Compliance, Legal Affairs
Department, Deputy Senior Manager)
Huicong Yu (China Re - London Office)
Klein Christopher (Guy Carpenter - Head of EMEA Strategy)
Klein Stefan (Munich Re - Senior Executive Manager, Claims Management)
Kunszt Zsuzsanna (AIG - Legal Counsel Switzerland and Austria)
Lee Young-­Bae (Korean Re - General Manager Oversea Department)
Maxl Gerd (Partner Re - General Counsel Global)
Newman Andrew (Willis Towers Watson - Co-­President, CEO Alternative
Strategies, Global Head of Casualty)
Schwer Dominic (SCOR - Senior Corporate Legal Counsel Life)
Wiegley Roger (Abogado)
Wiele Dana (RGA Re - Associate General Counsel, Global Legal Services)