ICAR 2007

CATASTROPHE SCHEME CONSORTIUM

The ConsortiumBucharest, 1st and 2nd October

The Consortium

• What is a consortium?• What is our role?• What is the added value?

Why employ a consortium?

“An association or grouping of institutions, businesses or financial organisations usually set up for a common purpose or a joint venture that would be beyond the capabilities of a single member of the group”

Why employ a consortium?

“……..beyond the capabilities of a single member of the group”

INSURANCE BROKERAGE REVENUE

Aon, Benfield, GuyCarpenter, WillisBalance of Top 10

Source: Business Insurance 1.11.06

REINSURANCE BROKERAGE REVENUE

Source: Business Insurance 1.11.06

Aon, Benfield, GuyCarpenter, WillisBalance of Top 10

DEDICATED REINSURANCE STAFF

Source: Business Insurance 1.11.06

Aon, Benfield, GuyCarpenter, WillisBalance of Top 10

Turkey Algeria Japan

SwitzerlandUSA – Florida,

California, HawaiiTaiwan

Norway New Zealand Spain

Role?

“not limited to those services normally provided to

the clients by reinsurance intermediaries”

Design, quotation, marketing and placement.

Administration.

Assessment of counterparty risk.

Efficient handling of recoveries.

Market information.

Technical advice.

Facilitation of scheme activities.

Assessment of counterparty risk and Market

Information:

Constant, in depth reviews based on ownership,

financial strength, reinsurance, management,

Government supervision.

Efficient handling of recoveries:

Claims Collection Performance

(Rita, Wilma, Katrina)

52% - Paid in 10 days or less

76% - Paid in 15 days or less

93% - Paid within 25 days

Technical advice:

Coordination of modelling study results, Dynamic Financial Analysis, communication channels

Dedicated, professional staffing in Romania.

Full training, full support. Imagination.

CREATION of a fully functioning SYSTEM that

provides ECONOMIC STABILITY to the whole of

ROMANIA and each and every ROMANIAN