Treaty reinsurance covers a defined portfolio under agreed acceptance rules rather than negotiating each risk separately.
The distinction that matters
Treaties can be proportional or non-proportional; portfolio scope and exclusions matter as much as the structure’s name.
What to check
- Check covered business and period.
- Review limits and reporting obligations.
- Read aggregation and claims conditions.
Example to discuss
A portfolio treaty may accept ordinary risks automatically while excluding a specialist activity requiring individual referral.
This is a hypothetical comparison, not a customer claim or a determination of cover.
Jurisdiction and scope
This is an insurer-to-reinsurer concept. A retail customer should check the original policy and insurer rather than infer a direct claim entitlement from a reinsurance structure. Reporting definitions and contract terms may differ.
Sources and further reading
General information only. The policy, schedule and applicable rules determine the actual position. For a personal decision, use an appropriately qualified adviser or the relevant provider.