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Loss Portfolio Transfer Agreement
I need a Loss Portfolio Transfer Agreement under Danish law for transferring a motor insurance portfolio from my company to a local reinsurer, with the transfer to be effective from March 1, 2025, including specific provisions for handling ongoing claims administration.
1. Parties: Identification of the transferring insurer (cedent) and the assuming reinsurer
2. Background: Context of the transaction, including description of the portfolio being transferred
3. Definitions: Definitions of key terms used throughout the agreement
4. Scope of Transfer: Detailed description of the insurance portfolio being transferred, including covered policies and time periods
5. Transfer Premium: Financial terms including initial premium, payment terms, and any adjustments
6. Claims Handling and Administration: Procedures for handling claims, including authority levels and reporting requirements
7. Representations and Warranties: Standard and specific warranties regarding the portfolio and parties' capacity
8. Regulatory Compliance: Obligations regarding regulatory approvals and ongoing compliance requirements
9. Security and Collateral: Requirements for financial security or collateral arrangements
10. Reporting Requirements: Periodic reporting obligations and information sharing requirements
11. Term and Termination: Duration of the agreement and circumstances allowing early termination
12. Dispute Resolution: Procedures for resolving disputes, including jurisdiction and governing law
13. Confidentiality: Provisions regarding confidential information and its protection
14. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment
1. Transition Services: Required when the cedent will provide ongoing administrative services during a transition period
2. Risk Sharing Arrangements: Used when parties agree to share certain risks or profits
3. Broker Involvement: Required when reinsurance brokers are involved in the transaction
4. Data Protection: Detailed section required when significant personal data is involved in the transfer
5. Adverse Development Cover: Optional protection against deterioration of the transferred portfolio
6. Currency Conversion: Required for international transfers involving multiple currencies
7. Tax Provisions: Detailed tax considerations when transfer has significant tax implications
1. Schedule A - Transferred Policies: Detailed list of insurance policies included in the transfer
2. Schedule B - Excluded Policies: List of specifically excluded policies or risks
3. Schedule C - Transfer Premium Calculation: Detailed methodology for calculating the transfer premium
4. Schedule D - Claims Handling Procedures: Detailed procedures and guidelines for claims handling
5. Schedule E - Reporting Templates: Standard formats for required periodic reports
6. Schedule F - Security Arrangements: Details of any collateral or security arrangements
7. Appendix 1 - Actuarial Report: Independent actuarial assessment of the portfolio
8. Appendix 2 - Due Diligence Findings: Summary of key due diligence findings
9. Appendix 3 - Regulatory Approvals: Copies of required regulatory approvals and conditions
Authors
Insurance
Reinsurance
Financial Services
Risk Management
Professional Services
Actuarial Services
Insurance Broking
Legal
Risk Management
Actuarial
Finance
Compliance
Claims
Underwriting
Operations
Regulatory Affairs
Portfolio Management
Chief Risk Officer
Head of Reinsurance
Insurance Portfolio Manager
Actuarial Manager
Legal Counsel
Compliance Officer
Claims Manager
Financial Controller
Portfolio Transfer Specialist
Underwriting Director
Chief Financial Officer
Insurance Operations Manager
Risk Analyst
Regulatory Affairs Director
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