Mr. Resini Alresini- the Deputy CEO of ReTech Co.- was interviewed on Alekhbariya Channel to explain the new mechanism of reinsurance cession after the Insurance Authority (IA) had issued a reinforcement circular that states "Insurance companies shall not offer less than 30% of each reinsurance Treaty Program (Quota-Share & Excess of Loss) and for each reinsurance Facultative Risk (Quota-Share & Excess of Loss) in the local reinsurance market on first right of refusal basis"
Mr. Alresini highlighted that the circular helps local reinsurance companies raise credit ratings and increase their underwriting capacity, which enables them to expand to international markets. Also, all companies will desire to raise their capital, merge, or create other solutions that increase their underwriting capacity.
The Deputy CEO also mentioned that the circular is a collective call for companies and entrepreneurs to innovate and find solutions that are in line with the market dynamics, which is why ReTech is trying to provide an innovative solution to help all relevant stakeholders.