| [SE-1041] Support Intra Group Contract when Single Treaty Protection | |
|---|---|
| Product Line: | P&C |
| Component/s: | Business |
| Fix Version/s: | SICS 4.9.3 |
Aim of function
Reinsurance companies often assume a treaty that should protect only one single treaty from the cedent. If this single treaty protection is proportional, the terms and condition are for the most part the same as the original. For example, if the protected treaty (original) is a non-proportional excess of loss treaty and the single treaty protection is proportional, the terms and condition of the single treaty protection is excess of loss conditions. Proportional single treaties protections (also when being assumed business) will in SICS now therefore have terms and conditions according to their covered type of business and covered type of participation, rather than their method.
Also, companies sometimes cede business to an ‘internal’ reinsurer, e.g. to a company in the same corporation. Each of the parties are in these cases base companies, where for example the parent is the cedent and the subsidiary is one of the reinsurers/retrocessionaires. In the subsidiary’s view, this treaty is an ‘internal’ assumed business - an inward intra group contract. When the latter is a single treaty protection, SICS now gives also this single treaty protection functionality. For example, when being a proportional single treaty protection, and the original contract is non-proportional, the intra group contract gets non-proportional terms and conditions.
System parameters affected
Business / Business Identifier: Let the Business Identifier of Single Treaty Protection be equal to the Master Business ID plus sequence number
Existing functionality affected
- Create Intra Group Contracts
- Classify Business
- Maintain Premium and Limits Conditions
- Maintain Reinstatement Conditions
- Maintain Claims Conditions
- Maintain Share Conditions
- Change Life Cycle Status
- Renew Business
- Copy Business