Hi, could someone please help me understand what’s redundancy exercise and why would an insurance company would undertake it? “Aggregation / concentration risk if a group version of the product is sold, eg to a company which then undertakes a redundancy exercise”
Hi Priyanka An insurance company may decide that it wants to reduce expenses. One way to do this is to reduce the number of staff it employs. A redundancy exercise is the process that a company must follow to decide who will lose their job and what compensation they might receive. If you let me know where you have seen this quote then I could comment more specifically on its context. Best wishes Mark
