Run Off Solutions is the strategic centre of competence for proactive run-off management activities of the Hannover Re Group.
The Run Off Solutions unit is comprised of roughly 15 staff divided into three teams: Our Claims Audits & Commutations team is responsible for conducting claims audits at our cedants and handles associated commutation negotiations. Our Credit Control & Commutations team deals with formal procedures (especially insolvencies of business partners) and commutations involving financially problematic reinsurance (business) partners. Our Collection & Treaty Closure team processes treaty closures and assists – on request – with the collection of problematic receivables.
Commutations are agreements between ceding companies and the reinsurer that result in a complete and final termination of the commitments entered into in the past under a reinsurance treaty.
When it comes to formal procedures, commutations are also the preferred means of achieving optimal outcomes because they offer more flexible solutions than official insolvency proceedings or so-called solvent schemes of arrangement. Insofar as the amounts involved are of minor relevance or are no longer adequate, we are able to relieve our company of the administrative burden by closing the books.
What do we do exactly?
No two exit strategies are the same! Commutation, formal proceeding or treaty closure - our approach is always customized to meet the needs and suit the conditions of each run-off case. In order to coordinate business relationships and communicate with each business partner, we rely on the information and support of our internal department and the company-wide business centre. Run Off Solutions also supports other Hannover Re departments in finding mutually satisfactory solutions regarding run-off business and contributes to Hannover Re’s group-wide active risk management.
What skills do we have?
- Most of the employees in our department have the following qualifications:
- Degree in economics or (business) law and/or economic, commercial or legal training,
- Experience in primary and/or reinsurance,
- Very good numerical and analytical skills, as well as excellent knowledge of the English language.
- Confidence when dealing with external and internal customers.