Tremor Technologies, Inc., the online reinsurance pricing and placement platform, has launched Tremor Wordings™ to serve as a powerful solution to digitize the complete reinsurance contract negotiation and approval process.
This launch is a follow-up to the company’s establishment of its in-marketplace communications platform.
Sean Bourgeois, CEO of Tremor commented, “A well-known pain point in the industry, the negotiation and closing of contract wording for traditional reinsurance placements involves dozens of versions of documents with out- of-synch track changes, virtually managed by spreadsheets exchanged between insurers, brokers and reinsurers.
“Ending contracts while trying to resolve pricing and lines is not only time and cost inefficient but carries significant compliance risk.”
Tremor Wordings™ aims to streamline contract wording negotiations with dedicated data rooms.
When cedents and their brokers use the platform’s Tremor contract discussion tools as part of a Tremor placement, it automatically creates individual data rooms that bring everything together in one place from of final contracts, clarification of wording, contract negotiations, and amendments.
After this, it will be neatly tied to the authorization stage of the process of placing the reinsurance online and transferring the risk to the Tremor market.
Bourgeois added, “With Wordings™, Tremor fully digitizes the end-to-end process so that the base contract wording can be negotiated and finalized before price discovery and allocation takes place. in our market.
“This sequence of operations drives more efficient trading with a constant audit trail so nothing is missed in a fraction of the time of a traditional placement.”
Using Wordings, cedants and their nominated brokers start each conversation by posting their draft contracts on Tremor, after which, each reinsurer gets a private data room where they can discuss the contract and can request any individual wording changes if necessary.
As the discussion progresses, the data room tracks the latest version of the contract.
If the cedent and reinsurer agree on the terms, they both click to approve the wording of the contract, which will then make the reinsurer eligible to authorize the bonded capacity for Tremor placement.
The last files as well as the conversation are remembered along with the transaction.
As a reinsurer, Tremor’s contract tools bring together everything from contract files, and negotiations, to clarifications in one convenient place. This allows easy access during or after the transaction.
As a settler or broker, Tremor’s contract tools help drive concurrency in base terms while managing reinsurers’ contracts, keeping all contract discussions in one place.
Tremor Wordings ™ is immediately available for reinsurance placement for all registered users using the Tremor platform. Insurers, reinsurers and brokers interested in learning more about Tremor’s technology are invited to contact the company directly for a demonstration.