Hi everyone,
I’m confused about the (mainly financial) relationship between an insurer and reinsurer. Please can people shed some light on this.
I’ve done CS2 and understand that claim amounts can partly be covered by the reinsurer.
However, I don’t understand the premium and commission relationship between the two. Also, am I missing other final relationships between the two? Eg does the insurer give a proportion of their premium to the reins. Is the commission cost split between them?
Thank you to everyone that replies


I’m confused about the (mainly financial) relationship between an insurer and reinsurer. Please can people shed some light on this.
I’ve done CS2 and understand that claim amounts can partly be covered by the reinsurer.
However, I don’t understand the premium and commission relationship between the two. Also, am I missing other final relationships between the two? Eg does the insurer give a proportion of their premium to the reins. Is the commission cost split between them?
Thank you to everyone that replies