Sutton Reinsurance Products

$5M per person

$10M per occurrence











Catastrophe Reinsurance for Personal Accident Insurers

Sutton Reinsurance is not only a provider of reinsurance capacity; as a leader in the reinsurance market Sutton Reinsurance often partners with intermediaries to tailor a Personal Accident Catastrophe Insurance program that best suits the needs of the insurance company buyer.


Product need and use:

Catastrophe Reinsurance for Personal Accident Insurers protects the insurer against the risk of a large loss involving several lives that could arise from a catastrophic accident. Catastrophe Reinsurance for Personal Accident Insurers can be written on a facultative basis, under the appropriate class code, for a single policy, but is most commonly a reinsurance treaty, which covers the reinsured’s portfolio of defined classes of risks. The following notes pertain to the Cat XL treaty.


Catastrophe Reinsurance for Personal Accident InsurersSubject Insurance:

Catastrophe Reinsurance for Personal Accident Insurersincludes Group AD, Group Voluntary AD, travel Accidental Death & Dismemberment (AD&D), special risk AD&D, and credit card AD&D. Benefits are paid for death and/or disability and/or medical expenses.


Catastrophe Reinsurance for Personal Accident InsurersDesign/Options:

An accident is deemed to be catastrophic when it involves more than a certain number of lives. This number of lives can be implied by the attachment point, but is usually stipulated as a Life Warranty. Limits provided are often high and divided into layers in which one or more reinsurers take a share.


Information Requirements:

  1. Premium volume of business (split between individual and group; split between products).
  2. Average retained per life.
  3. Maximum retained per life.
  4. Life warranty (should be at least two and preferably three or more).
  5. Geographic distribution of business.
  6. Profile of five largest groups (number of employees, volume, maximum retained per life).
  7. Details of known concentrations e.g. flight personnel, sports teams, vacation clubs, military units, conventions and professional societies.
  8. Details of hazardous occupation groups, e.g. miners, offshore oil drilling, explosives and chemical manufacturing, firefighters and sailors.
  9. Details on corporate- or privately-owned aircraft.
  10. Five-year claims history:
    • From ground up to show how close losses have come to the attachment point.
    • Showing losses on an “as if” basis to determine which losses have or would have impacted the coverage.


Information Requirements:

Information requirements are outlined in Catastrophe Reinsurance for Personal Accident Insurers questionnaire from Sutton Reinsurance.