Reinsurance is insurance that an insurance company purchases from another insurance company to insulate itself (at least in part) from the risk of a major claims event. List Of Licensed Reinsurance Companies In Kenya. With reinsurance, the company passes on (“cedes”) some part of its own insurance liabilities to the other insurance company. The company that purchases the reinsurance policy is called a “ceding company” or “cedent” or “cedant” under most arrangements. The company issuing the reinsurance policy is referred to as the “reinsurer”. In the classic case, reinsurance allows insurance companies to remain solvent after major claims events, such as major disasters like hurricanes and wildfires. In addition to its basic role in risk management, reinsurance is sometimes used to reduce the ceding company’s capital requirements, or for tax mitigation or other purposes.
The reinsurer may be either a specialist reinsurance company, which only undertakes reinsurance business, or another insurance company. Insurance companies that accept reinsurance refer to the business as “assumed reinsurance”.
There are two basic methods of reinsurance:
- Facultative Reinsurance, which is negotiated separately for each insurance policy that is reinsured. Facultative reinsurance is normally purchased by ceding companies for individual risks not covered, or insufficiently covered, by their reinsurance treaties, for amounts in excess of the monetary limits of their reinsurance treaties and for unusual risks. Underwriting expenses, and in particular personnel costs, are higher for such business because each risk is individually underwritten and administered. However, as they can separately evaluate each risk reinsured, the reinsurer’s underwriter can price the contract more accurately to reflect the risks involved. Ultimately, a facultative certificate is issued by the reinsurance company to the ceding company reinsuring that one policy, and is used for high-value or hazardous risks.
- Treaty Reinsurance means that the ceding company and the reinsurer negotiate and execute a reinsurance contract under which the reinsurer covers the specified share of all the insurance policies issued by the ceding company which come within the scope of that contract. The reinsurance contract may obligate the reinsurer to accept reinsurance of all contracts within the scope (known as “obligatory” reinsurance), or it may allow the insurer to choose which risks it wants to cede, with the reinsurer obligated to accept such risks (known as “facultative-obligatory” or “fac oblig” reinsurance). These types of contracts are typically long-term.
There are two main types of treaty reinsurance, proportional and non-proportional, which are detailed below. Under proportional reinsurance, the reinsurer’s share of the risk is defined for each separate policy, while under non-proportional reinsurance the reinsurer’s liability is based on the aggregate claims incurred by the ceding office. In the past 30 years there has been a major shift from proportional to non-proportional reinsurance in the property and casualty fields.
Here is a List Of Licensed Reinsurance Companies In Kenya
WAICA Reinsurance Corporation Plc is a public limited liability company incorporated under the laws of Sierra Leone (Companies Act 2009) on 7th March 2011.
In the years following the creation of West African Insurance Companies Association (WAICA) in 1973, the founding fathers had the desire to establish a reinsurance organisation to help mitigate the effects of the lack of reinsurance capacity within the West African insurance industry.
To fulfill this ambition, the founding fathers considered it prudent to start off by creating a reinsurance pool which hopefully will someday metamorphose into a fully fledged reinsurance corporation. Today, the WAICA Reinsurance Pool has turned into WAICA Reinsurance Corporation Plc, a dream come true.
There is no gain in saying that there is lack of reinsurance capacity in the West African sub region, which situation is compelling insurance companies to seek reinsurance protection in other parts of the world where the treaties offered are not exactly competitive and/ or affordable and the service sometimes almost non-existent.
WAICA Re has its headquarters in Freetown, Sierra Leone and holds Regional Offices in Ghana, Nigeria, Ivory Coast and Tunisia and Subsidiaries in Kenya and Zimbabwe.
You can contact WAICA via email using the following email addresses:
WAICA Re (Kenya) Ltd, Nairobi, Kenya
Address: Real Towers Annex, Hospital Road, Upper Hill, NAIROBI, Kenya
Telephone Number: +254 20 2722000
WAICA Re Headquarters, Freetown, Sierra Leone
Address: 30 Junction, Hill Station, FREETOWN, Sierra Leone
Telephone Number: 00 232 76 368359
WAICA Re Regional Office, Accra, Ghana
Address: 3rd Floor, Atlantic Tower, Plot 16 Airport City, Accra, Ghana
Telephone Number: +233 24 473 1004
WAICA Re Regional Office, Lagos, Nigeria
Address: 1, Muritala Muhammed Drive (formerly Bank Road), Ikoyi, Lagos, Nigeria
Telephone Number: +234 708 080 5555 / +234 803 429 2875
WAICA Re Regional Office, Abidjan, Ivory Coast
Address: La Résidence les Hauts de l’Indenie CM59 Lot 34 1ér étage de l’escalier A Plateau -Abidjan Côte d’Ivoire
Telephone Number: +225 566 76055 / 202 25674
WAICA Re Regional Office, Tunis, Tunisia
Address: Immeuble Émeraude, Rue de la Bourse, A 1.1 Les Jardins du Lac 2, 1053 TUNIS
Telephone Number: +216 976 92802
WAICA Re Zimbabwe (PVT) Ltd, Harare, Zimbabwe
Address: 27 Epping Road Mount Pleasant Harare Zimbabwe
Telephone Number: +263242 781745 / 751700 / 753176
WAICA location is: https://goo.gl/maps/P3qzzXfenWWEQp1dA
Ghana Reinsurance PLC Kenya office was set up in 2011, and commenced operations in earnest in Underwriting Year 2012. The office has since operated as a liaison office, and found acceptance in the industry as a viable security; sourcing and servicing non-life business in the Eastern and Southern Africa region and collaborating closely with the other reinsurers.
A highly committed and professional team, headed by a Regional Director, and working closely with the International Department of the Head Office, runs the office. Ghana Re Kenya office is adopted to a strong working philosophy, based on three main pillars of strength; professionalism, quick turn-around time and rapid claim payment procedures. Processes rely on sustained technological sophistication, to ensure conveyance of up-to-date exchange of information amongst stakeholders and to close businesses in a timely manner.
Ghana Reinsurance PLC, Sudan Rd, Accra
Kenya Reinsurance Corporation Limited (Kenya Re) is the oldest Reinsurer in Eastern and Central Africa. It was established through an Act of Parliament in December 1970 and commenced business in January 1971.
Kenya Re’s core activity is providing reinsurance services for most classes of business. Since its inception, Kenya Re has progressively and consistently continued to provide reinsurance services to more than 265 companies spread out in over 62 countries in Africa, Middle East and Asia.
Kenya Re is committed to offering world-class reinsurance service. In 2004, the Corporation made an effort to benchmark its services with international standards by subjecting itself to a rating process by an International rating Agency, A. M Best. It was rated B (Fair). The Corporation has successfully maintained this rating to date.
The Corporation is also rated AA+ by Global Credit Rating (GCR).
Reinsurance Plaza, along Aga Khan Walk & Taifa Road, Nairobi, Kenya
General: +254 703 083 000,
Complaints Office: +254 703 083210, +254 703 083212
Corruption Reporting: +254 703 083241, +254 703 083303
East Africa Reinsurance Company was incorporated in 1993 and commenced operations on 1st January of 1995. The company was formed through a joint initiative of local insurance companies in Kenya and the International Finance Corporation (IFC), the private sector arm of the World Bank. The main objective for establishing the company was to serve the reinsurance needs of the local insurance market; and with time grow to other regional and international markets. At the time, the local reinsurance market was dominated by the major international reinsurers, with a few national and inter-governmental reinsurers playing a peripheral role. There was also a need to develop local reinsurance capacity to reduce over-dependence on international markets and preserve foreign currency reserves.
With a history spanning more than 30 years, we have developed an extensive network across Africa in order to serve our clients. Everything we do is underpinned by the translation of our pan-African track record and commitment into local value.
Continental Reinsurance Plc.
Continental Re Centre,
17 Olosa Street,
Victoria Island, Lagos
P.O Box 2401
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