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Further Information Insurance

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Presentation on theme: "Further Information Insurance"— Presentation transcript:

1 Further Information Insurance

2 Funding of Life Insurance Policy Reserve
Humpback Statutory Reserve Profile Regulation Triple-X Results in Significant Long-Term Reserve Strain for Companies in the Term Market Statutory Reserve Reserve Redundant Reserve Economic Reserve Economic Reserve 10 20 Year This graph is illustrative of a 20-year term policy. The shape of the graph will, however, depend on the risk profile of the policy-holder.

3 Reinsurance Agreement
Securitization Structure for Funding the Reserve Simplified Schematic of Securitization Insurer Trust Beneficiary Premium - Expenses Claims Trust Reinsurance Agreement Net Cash Economic Economic Reserve Assets Captive Reinsurer Initial Capital

4 Reinsurance Agreement
Securitization Structure for Funding the Reserve Simplified Schematic of Securitization Insurer Trust Beneficiary Premium - Expenses Claims Trust Reinsurance Agreement Redundant Net Cash Economic Redundant Reserve Assets Economic Reserve Assets Note Proceeds Captive Reinsurer Investor Notes (Triple-A) Initial Capital


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