Retrospective Reinsurance (Retros)

Retrospective participation programs (Retros) allow partners to share in underwriting performance without forming a separate reinsurance company.

Under a Retro structure:

• Performance is measured over a defined book of business
• Claims experience and loss ratios determine profit share
• Surplus, if generated, is distributed according to program terms

This approach can provide:

• Simplified structure relative to a PORC
• Reduced administrative complexity
• Participation in underwriting upside
• Alignment with performance-based economics

Retros can be an attractive option for partners seeking underwriting participation without the operational commitment of a separate entity.