Job Description of a Reinsurance Officer

Save

Risk can create a lot of stress, so insurance companies help their clients feel more at ease by distributing their risk among a large number of individuals. However, insurance companies also worry about risk and sometimes obtain reinsurance plans. These insurance companies are protected by reinsurance companies, which pay for large claims that the smaller insurance companies cannot pay.

Function

  • Reinsurance officers are reinsurance company employees who are responsible for reinsurance practices. Reinsurance is a form of insurance for insurance companies. Insurance companies use reinsurance in order to avoid having to pay a large claim. Reinsurance companies receive part of the money that the insurance client paid the original insurance company and in exchange, the reinsurance company takes on the risk. When the original insured makes a claim, the insurance company must pay the original insured. Then the insurance company makes a claim against the reinsurance company. In addition to reducing risk, reinsurance companies reduce the fluctuations of their claims, reduce the risk of insuring countries with political strife or natural disasters and increase the insurance company’s capacity to insure others.

Conditions

  • Reinsurance officers usually work 40 hours a week, though management and executives usually work more hours. Reinsurance salesmen might have to work 50 to 60 hours some weeks in order to close sales. Reinsurance officers have to sometimes travel to meet with different insurance companies and sometimes have to examine the scene of a disaster when large claims are made to the insurance company, which makes large claims to the reinsurance company.

Skills

  • Reinsurance companies usually want workers to have some form of post-secondary education. However, most of the training that reinsurance officers receive occurs on-the-job, though some workers are sent to outside institutions to receive training. Math aptitude and computer aptitude will increase the value that a reinsurance officer brings to his company. Those who work with clients need good interpersonal and communication skills in order to successfully communicate the specifics of the reinsurance plans.

Outlook

  • The need for reinsurance officers was expected to grow 3 percent from 2008 and 2018, according to the Bureau of Labor Statistics (BLS). Industry consolidation eliminates redundant jobs and technological advancements such as the Internet make it easier for customers to choose their reinsurance plans on their own. Technology also makes reinsurance officers more productive. Spreading the risk among a larger number of clients will also reduce the need for insurance companies to acquire reinsurance.

Earnings

  • Reinsurance officers earned an average of $82,000 in 2014, according to online job website SimplyHired. Salaries were higher in some geographic areas, for example, New York City, where the average reinsurance officer took home $96,000.

References

  • Photo Credit Digital Vision/Digital Vision/Getty Images
Promoted By Zergnet

Comments

You May Also Like

  • Job Description for a Case Manager

    Case management in health care is the coordination of care for people who are physically or mentally ill, to ensure that they...

  • Job Description of a Chief Risk Officer

    Risk management encompasses all possible risks for an organization, including those that relate to finances, legal issues and regulations. In the car...

  • Associate General Counsel Job Description

    The complexities of the business world often require legal advice. Many organizations retain the services of a general counsel for that purpose....

  • Claims Assistant Job Description

    A claims assistant is an administrative professional who supports claims adjusters, appraisers, examiners or investigators. These professionals work for an insurance or...

  • Job Description for a Contract Administrative Assistant

    **Contract administrative assistants help contracts managers to effectively enforce contracts made with suppliers, customers, contractors, employees or government agencies**. They prepare contract...

  • What Is a Medical Compliance Specialist?

    A medical compliance specialist is a professional who has a complete understanding of all policies that surround the facility's billing and coding...

  • Job Description for Cash Applications

    A cash applications specialist works under the supervision of a senior professional, recording client payments and ensuring that payments are accurate. The...

  • What Is Insurance & Reinsurance?

    Reinsurance, as defined by Princeton University's WordNetSearch 3.0 Online, is the "sharing of risk by insurance companies; part or all of the...

  • Claims Officer Job Description

    Claims officers evaluate insurance claims to determine whether or not they should be paid and, if so, how much they're worth. Usually...

  • Insurance Accounting Basics

    One peculiar aspect of the insurance industry is the great lapse of time between the revenues on the one hand and the...

  • The Job Description: Hiring a New Employee

    How to hire a new employee and ensure you make the right decision; get expert tips and advice on hiring practices in...

Related Searches

Check It Out

3 Day-to-Night Outfits for the Work Week

M
Is DIY in your DNA? Become part of our maker community.
Submit Your Work!