What reinsurance brokerage services are considered unsophisticated? How are they priced?
Answers:
determining your reinsurance needs.
preparing a written summary to transport to reinsurers.
obtaining quotes from reinsurers.
helping you pick the quote and the percentage to buy from each reinsurer.
collecting the premium from you and sending it to the reinsurers.
sending your claims experience to the reinsurers.
collecting reinsurance claim amounts from reinsurers and sending it to you.
The price to the broker is call the brokerage amount and varies from 1% to 10% depending on the volume of premium and whether the reinsurance is proportional or non-proportional.