Also known as Nontraditional Reinsurance, Limited Risk Reinsurance, and Financial Reinsurance
A term used to describe a broad spectrum of treaty reinsurance arrangements which provide reinsurance coverage at lower margins than traditional reinsurance, in return for a lower probability of loss to the reinsurer.
This reinsurance is often multi-Year and financially oriented, and can provide a means of financial management beyond that usually provided by traditional reinsurance.