EIOPA · 3162
Reinsurance
- Regulation
- Guidelines on application of outwards reinsurance
- Topic
- Reinsurance
- Submitted
- 2024-10-02
- Answered
- 2025-03-13
Question
Is an outward reinsurance policy, which provides coverage for an inward life reinsurance policy, classified as a general outward reinsurance policy or a life outward reinsurance policy?
Background
We as a company only write Life RI policies. We purchase outward RI to cover these "Life RI" policies. Given the nature of the transaction, we are unsure whether the outward RI would be classified as general or life as the Life RI Inwards policies are not covering a life policy per say, but QBE as a reinsurer accepting the risk of life insurance policies from a ceding company (the direct insurer).
Answer
Outwards reinsurance should be classified according to the nature of the risk transferred from the underlying contracts being reinsured. Therefore, an outward reinsurance policy providing coverage for an inward life reinsurance policy should be considered as a life reinsurance policy.
This Q&A is published by European Insurance and Occupational Pensions Authority and is non-binding. It does not constitute legal advice. Updated weekly from official ESA sources.
Similar Q&As
More Q&As on this topic
📋 Track EU financial regulation continuously
Forseti monitors EU financial regulation and delivers personalised alerts anchored to verified official sources.
14-day free trial. No credit card required.