Hannover Re has a broad and deep experience of reinsuring policies protecting against loss of income due to accidental and sickness-related disability.

Disability risk is inhe­rently more com­plex than mor­tality risk. In­fluenced by a wide range of variab­les, inclu­ding changes to social secu­rity provi­sion, unemploy­ment rates, and broader trends in the local market and economy, margins on products with a dis­ability expo­sure are noto­riously vola­tile. Such products also carry a higher risk of anti-selec­tion than traditional life insu­rance. Histori­cally, this combi­nation of factors has some­times resulted in sub­stantial losses to insurers.

Working with Hannover Re, however, our clients benefit from both our global view of disabi­lity market trends and our de­tailed know­ledge of local markets around the world – protec­ting them from un­certain­ties asso­ciated with dis­ability risk.

In markets where cor­porate pension schemes include a dis­ability rider and/or waiver of premium pro­tection, for example, rein­suring with Hannover Re enables niche insurers such as bancassurers and unit linked companies, who may be prima­rily focused on the invest­ment aspect of policies, to offer a full cor­porate pension package whilst retaining full control of dis­ability risk.

We also add value through our expert support with all aspects of dis­ability risk, inclu­ding:

  • Under­writing
  • Claims hand­ling
  • Terms and con­ditions
  • Premium calcu­lation
  • Risk selec­tion
  • Auto­mated under­writing system
  • Reser­ving

Clients part­nering with Hannover Re are able to offer a full range of dis­ability risk exposed products whilst protec­ting them­selves from un­welcome uncer­tainty.