Reinsurance recoverables management: every paid loss billed to the covers that respond, and chased until paid
Every paid loss billed to the covers that respond, and chased until paid.
See one case, screen by screen ↓It is the work of finding what reinsurers owe on paid losses, billing it with the proof each treaty or certificate requires, and following each balance until it is paid. This solution adds six agents that check every paid loss against every treaty layer and facultative certificate each night, build the bills and chase the balances.
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A ceding company buys a program — per-risk and catastrophe excess of loss, a casualty clash, a quota share — and binds facultative certificates on its largest risks. Every paid claim may owe something back. Today the ceded analyst works out which covers respond from a paid-loss extract at quarter end, and finds the recoveries she thinks to look for.
The rest stay on the net line. A certificate bound by email that never reached the ceded ledger. A hail storm coded as two events, so neither reaches the cat retention. A loss that crossed the retention the day after the bill run. Bills that go out without proof come back with a query, and the clock restarts — while balances past 90 days and not in dispute draw a provision in the annual statement.
Estimated split for one quarter’s recovery work on a multi-layer program, by hand and with the solution.
Six specialist agents check every paid loss against every cover and build each bill with proof; the ceded analyst approves.
Ashgrove Mutual has closed Q3 2026: 4,812 paid claims, $96.40M. It is Monday 12 October. Here is what the ceded team sees, screen by screen, in the working solution.
Imogen opens the loss flow: every paid loss on the left, the covers that respond in the middle, the reinsurers on the right, ribbon width in dollars. Billed flows are blue, retained flows grey — and flows the contracts say are owed but nobody billed are amber.
“Unbilled, found by the sweep: $11,160,250 · 5 losses · 6 reinsurers.”
One toggle swaps to “As booked”. Facultative FC-25-0388 is greyed out — “not in the ledger”. The casualty clash, the umbrella quota share and Catastrophe Layer 1 show “nothing billed”. Retained by Ashgrove reads $47.57M; as the covers respond it is $36.41M.
The sweep runs in a side rail, step by step. The paid loss reader reads 4,812 paid claims; the cover matcher, event aggregator and recovery calculator follow. As each finding lands, its ribbon peels away from “Retained by Ashgrove” into the cover that owes. The whole run took 3 min 12 s.
“Event aggregator: two hail codes, one 168-hour window … proposed, not merged.”
Five paid losses a reinsurer owes on that nobody billed. Ridgeline Pass: Pellston Freight’s auto policy paid $3.90M and its general liability policy $2.34M for one pile-up on I-71 — $1.24M above the clash retention. Brookfield Avenue crossed $2M a day after the 28 Sep bill run. Three umbrella claims on form UMB-07 were booked as general liability, so the 50% quota share was never ceded.
Corvell Cold Storage, a fire in the blast-freezer hall: $12,460,000 paid of $13,800,000 incurred. The per-risk treaty tops out at $10M. Certificate FC-25-0388, $15M xs $10M, was bound by email on 3 Mar and kept in the underwriting file. Above $10M, $2,460,000 is owed — Halvard Rück $1,476,000, Pemberton Re $984,000.
Margin note: “Late notice bars recovery only with prejudice. Notice goes with the bill, with the adjuster’s report.”
The claims system opened a new event code when the storm crossed a county line: 26-HL-031, $18,930,000 over 782 claims, and 26-HL-034, $12,780,000 over 502. Neither reaches the $25M retention alone. The first claims came at 13:40 on 14 May in Franklin County, the last on 18 May in Licking County — 98 hours apart. As one event, $31,710,000: Layer 1 owes $6,710,000.
The aggregator proposes the merge; it never merges an event itself.
She confirms the window under Article 7 of the cat treaty. Both codes show Merged, and cat event CE-26-05 moves to “Confirmed · billed”, with the recovery split across six reinsurers. The reinstatement premium for the layer used, $536,800 pro rata as to amount, is billed separately by premium accounting.
Six bills, $11,160,250. Halvard Rück’s bill RB-26-1047 has three lines: the Corvell certificate at 60%, $1,476,000; the hail at 20%, $1,342,000; Ridgeline Pass at 60%, $744,000 — $3,562,000 in all. The proof pack holds 11 documents, from the signed certificate and sworn proof of loss to the hours-clause election and the recovery calculation.
“Notice under clause 8 is enclosed … Under clause 9 late notice does not invalidate the claim unless you are prejudiced.”
Imogen approves. The bill is above $1,000,000, so Graham co-signs. Only then can it go: “Sent with proof · Today 08:39”, through Wexley & Crane Re, and on to be followed until paid.
$38.60M billed and outstanding, $4.11M overdue more than 90 days, $1.90M in dispute. The slow-pay test fails for Tessaly at 20.2% and Pemberton at 20.3%, each drawing a 20% provision: $368,000 and $198,000. Remittances are matched each morning — Northmoor’s $4,500 short payment is logged as a bank charge and queried.
The same quarter, seen by the five people who carry it — what their week looked like, and what it looks like now.
Six specialist agents check every paid loss against every cover and build each bill with proof; the ceded analyst approves.
Reads every paid and reserve movement, claim file, event code and line of business each night, and flags claims whose policy form and line of business disagree.
Checks each paid loss against every treaty layer and facultative certificate in force on the loss date — including certificates found in underwriting files and broker email.
Groups catastrophe claims by peril and loss time under each treaty’s hours clause, finds the window the company may elect, and proposes merges across event codes.
Computes each recovery in inuring order: retentions, layers, each reinsurer’s share, limits used and reinstatement premium pro rata as to amount.
Builds one bill per reinsurer with the proof each line needs — certificate or slip, proof of loss, payments, adjuster’s report, event schedule, calculation — and drafts notice where it is owed.
Matches remittances to bills, ages every balance from its bill date, sends reminders at 30, 60 and 90 days through the broker and runs the slow-pay test weekly.
Approves bills and confirms events; head of ceded co-signs above $1M. The agents propose; a named person decides.
The ceded team can ask in plain words. Each answer cites the clause and the arithmetic, and opens the screen it is about.
Why does the Corvell fire reach a facultative certificate?
The Corvell loss has $12,460,000 paid. The per-risk treaty tops out at $10M — retention $2M, Layer 1 $3M, Layer 2 $5M. FC-25-0388 covers $15M xs $10M and the treaty inures to it, so $2,460,000 is owed: Halvard Rück $1,476,000, Pemberton Re $984,000. The certificate was bound by email on 3 Mar and never loaded. Notice is late under clause 8, but clause 9 needs prejudice.
Which reinsurers fail the slow-pay test?
Two: Tessaly Re at 20.2% ($1.84M over 90 days) and Pemberton Re at 20.3% ($0.99M). Provision if nothing changes by 31 Dec: $368,000 and $198,000. Chasing both this week takes them under 20% if $160,000 arrives from Tessaly and $20,000 from Pemberton.
Show the May hail as one event
26-HL-031 ($18.93M) and 26-HL-034 ($12.78M) were opened a day apart when the storm crossed into Licking County. Every claim falls between 14 May 13:40 and 18 May 15:55 — inside one 168-hour window. As one event: $31,710,000, so Catastrophe Layer 1 owes $6,710,000. The merge waits for you to confirm.
What did tonight’s sweep find?
Five recoveries nobody billed, $11,160,250: the Corvell certificate $2,460,000; the hail as one event $6,710,000; Ridgeline Pass under the clash cover $1,240,000; Brookfield crossing the retention $338,250; three umbrella claims $412,000. Six bills are drafted with proof; four need Graham Albury.
13 screens from the working solution, on its sample data. Pick one to see it large.
How Ashgrove bills and chases its recoveries — every rule is a setting, versioned and on the audit trail.
| Setting | Default | Choose from |
|---|---|---|
| When the sweep runs | Nightly at 02:00 | Nightly at 02:00 · On each paid movement · Weekly, Sunday 02:00 |
| Where certificates are searched | Underwriting files · broker email | Facultative placements bound outside the ceded ledger |
| Hours clause — wind and hail | 168 hours | Per treaty · riot and civil commotion 72 hours |
| Smallest recovery to bill | $25,000 | Below this, the amount waits for the next paid movement |
| Bill cadence | Next business day | Next business day · Weekly, Monday · Quarter end |
| Head of ceded co-signs a bill above | $1,000,000 | $500,000 · $1,000,000 · $2,500,000 |
| Reinstatement premium | Billed separately by premium accounting | Billed separately by premium accounting · Netted on the recovery bill |
| Escalate to the credit controller | At 90 days | At 60 days · At 90 days · At 120 days |
| Slow-pay test threshold | 20% | 15% · 20% · 25% |
Every figure is labelled: a target the solution is built to, an estimate, a typical published result, or a proven one.
“demo” = seen in the working solution, on its sample program and paid-loss data · “target” = the design goal, measured in the live solution · “estimated” = our estimate · “typical” = published figures (Deloitte UK, Ceded reinsurance survey results — 71% say late data leads to manual activity, workarounds and inaccuracies). The 90-day overdue line is the one 11 NYCRR §125.4 uses; the slow-pay threshold and provision are settings. People, companies, brokers and reinsurers named on this page are fictional — characters and sample data in the working solution.
It is the work of finding what reinsurers owe on paid losses, billing it with the proof each treaty or certificate requires, and following each balance until it is paid. This solution adds six agents that check every paid loss against every treaty layer and facultative certificate each night, build the bills and chase the balances.
The cover matcher tests every paid loss against every layer and certificate in force on the loss date, and searches underwriting files and broker email for certificates not in the ceded ledger. The event aggregator groups catastrophe claims under the hours clause, and the recovery calculator catches losses that crossed a retention after the last bill run.
Yes. The event aggregator groups claims by peril and loss time under each treaty’s hours clause — 168 hours for wind and hail, 72 hours for riot and civil commotion in the sample program — and proposes merges across event codes. The analyst confirms or keeps them as separate events.
No. The proof pack builder drafts each bill with its proof, and nothing is sent until the ceded analyst approves. Above $1,000,000 the head of ceded reinsurance co-signs. The amount is a setting.
Every balance is aged from its bill date, with reminders at 30, 60 and 90 days and escalation to the credit controller at 90 days. The slow-pay test — overdue over 90 days divided by paid-loss recoverables plus receipts in the last 90 days — runs weekly against the threshold you set. Disputed balances are kept out of the overdue test and tracked on their own.
No. It reads claims, payments, slips and certificates; it never changes a claim record or a treaty term, and it never offsets, commutes or writes off a balance. Those decisions stay with your people, and every step is on the audit trail.
Yes. The agents propose; the analyst approves every bill and confirms every event merge, the head of ceded reinsurance co-signs large bills, a person loads any certificate found outside the ledger, and the credit controller owns escalation and write-off.
The Agentic Solution Engine builds and deploys it from your requirements and documents — your treaty slips and wordings, certificates and a quarter of paid losses — and it goes live once every quality gate has passed. We will walk you through it on your own program first.
A checked renewal submission in days, not weeks, every figure traced.
1-min demoTreaty Underwriting WorkbenchA first view of every program in hours, not days.
1-min demoTreaty Wording ComparisonEvery changed clause found before signing, not when a claim tests it.
1-min demoWe’ll run Reinsurance Recoverables Management on a quarter of your own paid losses and your own program.