Capital Management Solutions
The passage of the Accountable Care Act means millions of new members for health plans and insurers, particularly in the managed Medicaid and individual markets. This presents a whole new set of opportunities and challenges, not the least of which is meeting risk-based capital requirements. While any reinsurance protection is a form of capital management, some approaches focus more specifically on this function.
Quota Share Reinsurance
Summit Re has relationships with a number of reinsurers and can help you structure surplus relief to improve your surplus ratios and your return on capital. The right surplus relief can also help you write more new business. Examples of these types of arrangements include:
- Non-refunding quota share coinsurance
- Refunding quota share coinsurance
- Captive conduit quota share coinsurance
Captive Insurance Companies
Another capital management strategy involves placing employee benefits into a captive. This instrument primarily focuses on addressing cost and control issues, but the client must carefully weigh these against some disadvantages. Summit Re’s experience using captive solutions runs deep, and we specialize in offering innovative, multi-level solutions.
To learn more about these reinsurance options with Summit Re, contact us.