Uncollectible Reinsurance Reserves (Revised 11/99)

This paper provides an introduction to concepts and methods for developing estimates of uncollectible reinsurance reserves. Such reserves may be required if an insurance or reinsurance company has ceded reinsurance losses recoverable that have become uncollectible. Topics covered include sources of uncollectible reinsurance, insolvency issues, data sources, relevant legal concepts, financial reporting issues, contract termination issues, reserve estimation methods, and federal income tax matters.