Reinsurer Collateral Requirements: Covered Agreements and US Credit for Reinsurance Model Law

    View Authors December 2018

    On September 22, 2017, the US signed the Bilateral Agreement Between the United States of America and the European Union on Prudential Measures Regarding Insurance and Reinsurance (the US-EU Covered Agreement or US-EU Bilateral Agreement). The US- EU Bilateral Agreement addresses group supervision, reinsurance and the exchange of information between supervisory authorities. Among its significant elements is the elimination of collateral posting requirements for US reinsurers operating in the EU and for EU reinsurers operating in the US. This publication addresses some of the recent significant developments relating the US-EU Covered Agreement and reinsurer collateral requirements.