Insurance operation based on the estimate of probabilities according to the laws of statistics, and the insurer is doing his best to reach accurate estimates being able to determine its obligations in the face of the insured, and maintains financial reserves to ensure that these obligations are met.
These precautions, however, may not provide full reassurance For the believer to meet these obligations because its estimates are approximate in origin may err, but this error is reduced to a minimum as many number of insured in accordance with the Law of Abundance.
However, it was the face of potential error is re-insurance to the insured other Insurance companies in order to reassure to fulfill its obligations and provide confidence to the insured public in its financial position and its ability to cover all the risks against which secures.
And re-insurance may be compulsory by law on the insured to face certain risks, such as insurance from damage, and may be optional any resort to the believer of his own when he wants to provide confidence in the ability of insurance.
التسميات
Reinsurance