Insurance
If something bad happens, like you get hurt or have a car accident, you need to tell your insurance company so they can help you. What is this message called?
It’s called a claim. A claim is when you ask your insurance company for help or money after something goes wrong.
what is the name of “insurance for insurance companies.
Reinsurance
If your car gets stolen, which insurance helps you, property insurance or auto insurance? Could it be both? Explain why.
It is covered by auto insurance, not property insurance.
That’s because auto insurance is made to protect cars from things like accidents or theft. Property insurance (like home or renters insurance) protects your house and the things inside it, not your car.
When and where did Swiss Re first start?
Swiss Re started in 1863 in Zurich, Switzerland.
You caused a car crash that damaged someone’s backyard. You got hurt and had to go to the hospital, your car is damaged, one passenger died, and you can’t work for six months.
In a place like Florida, what are at least four types of insurance that could help cover these problems?
You would need several types of insurance to help with everything:
If you want to have insurance, you usually pay money to the insurer. What is this payment called?
The money you pay to an insurance company is called a premium.
Why do insurance companies use reinsurance?
Insurance companies use reinsurance when a very big event (like a hurricane or large robbery) causes many people to file claims at the same time.
What type of insurance helps protect you if your phone gets hacked?
This is usually covered by electronics insurance (sometimes also included in cyber insurance or protection plans).
How many offices does Swiss Re have around the world, and how many are focused on Latin American insurance? Can you name one place where they work in Latin American insurance?
Swiss Re has about 80 offices worldwide and around 4 offices focused on Latin American reinsurance, including Mexico, Colombia, Brazil and Miami.
You are a reinsurance company. You can only insure one of two identical buildings: one in California and one in Toronto. Which one should you choose and why if the premium is the same?
You may choose Toronto because it is generally safer and has fewer natural disasters. California has higher risks like wildfires and earthquakes, which means more chance of big insurance payouts.
What insurance helps pay if your home is damaged by a natural disaster like a hurricane or fire?
Home insurance (property insurance) helps pay to repair or rebuild your home after damage from disasters like storms or fires.
When needed, reinsurance helps insurance companies stay more what?
Reinsurance helps insurance companies stay more stable.
If home insurance covers your house and electronics insurance covers your devices, what are three examples of things that property insurance can protect?
Property insurance can cover:
Where is the US Swiss Re headquarters located? Where is the main headquarters located?
Armonk, New York; Zurich
A driver accidentally runs a red light and crashes into another car, causing damage and injuring the other driver. The injured person files a claim against the driver for the damages.
What will the driver’s liability insurance cover?
For the surgeon in this situation, and what kinds of costs would it likely pay for?
It will pay for repairs to the other person’s car, medical bills, legal fees, and compensation if the driver is found responsible.
Will insurance pay if you on purpose lose or break something yourself? Why or why not?
No. Insurance usually won’t pay because it wasn’t an accident you couldn’t control. If you lose or break something on your own, it’s your responsibility.
What is it called when reinsurance combines covers for all policies into one policy?
This is called treaty reinsurance.
What is the difference between personal accident insurance and health insurance?
Personal accident insurance pays you if you are injured or die from an accident.
Health insurance pays for medical expenses like doctor visits, hospital stays, and treatments for illnesses or injuries.
What is one important record of Swiss Re in the reinsurance industry?
It is one of the oldest independent reinsurance companies still operating. It is the oldest independent reinsurer still in operation
A customer asks insurance to pay for a roof that got damaged over time because it wasn’t maintained, but the company says no. Why would the insurance company reject the claim? Use the word risk or uncertainty.
The company rejects the claim because the damage was not sudden or uncertain. Insurance covers unexpected risks, like accidents or disasters—not damage that happens slowly from lack of maintenance.
Two people want auto insurance. One has a clean driving record, and the other has a history of illegal driving and many crashes. Who will pay more, and will all companies charge the same price?
The driver with the bad record will pay more because they are more likely to crash again. Not all insurance companies will charge the same price.
You are a Swiss Re risk engineer choosing between Puerto Rico and Colombia. Which place would you insure and why if premiums are identical for the same type of risks?
You would most likely choose Colombia because it is more inland and has a lower risk of natural disasters. Puerto Rico has higher risk from hurricanes and strong storms, so it is more likely to have costly damage. When choosing what to insure, you always look at the level of risk and the "right" premium for the risk.
What are two differences between property insurance and liability insurance?
Property insurance covers damage to your own things (like your home or business).
Liability insurance covers damage or injury you cause to other people or their property.
Also, liability insurance can cover many situations (like injuries or damage to others), while property insurance is mainly for your own belongings.
The main Swiss Re building in London, known as the Gherkin, has a name that comes from English. Based on language and location clues, you are choosing between three possible countries: the United States, Canada, or the United Kingdom.
Using reasoning about language and geography, where is the Gherkin most likely located, and why?
The Gherkin is in the United Kingdom (London).
It is most likely there because “gherkin” is a British English word commonly used in the UK, and London is where the Swiss Re building is located.
A reinsurance company provides coverage to insurers in the United States, Japan, and Australia. In the same year, Japan experiences a major earthquake, Australia has severe wildfires, and the United States is hit by a powerful hurricane.
Why is this situation especially difficult for the reinsurance company?
It is difficult for the reinsurance company because it must pay for large losses in all three countries at the same time. Since the disasters happen in different regions but in the same year, the total claims become very high, which can put pressure on the company’s finances and reduce its ability to stay stable.