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2022 Insuralex report: Overview of reinsurance law in Latin America

by Insuralex / Wednesday, 19 January 2022 / Published in Allende & Brea, BLP Costa Rica, Brigard Urrutia, D’Empaire, Estudio Carvallo Abogados, Ferrere Abogados, Jáuregui y Del Valle, Moreno Baldivieso, News + Articles, Osterling Abogados, Pérez Bustamante & Ponce, Peroni Sosa Tellechea Burt & Narvaja, Pinheiro Neto Advogados, Reports, Sucre | Arias | Reyes

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Insurance companies, like many others, are exposed to multiple risks and, therefore, they are concerned about having mechanisms to ensure their operations, avoiding that, in the event of a large loss, the exposure of their patrimony becomes greater. That is why reinsurance is such an important contract in insurance markets worldwide. It helps to (i) increase the financial backing capacity of the insurers, (ii) increase their number of insureds, (iii) limit their financial liability for specific risks, (iv) improve the coverage they offer to their insureds, and (v) improve corporate incomes, among others.

In view of the above, this report presents the responses prepared by Insuralex exclusive members within the region to some common questions regarding the regulation of the reinsurance contract in their respective jurisdiction.

The regulation in Latin American countries presents some differences in matters like: (i) the application of “cut through” clauses; (ii) the statute of limitations of legal actions arising from the agreement, and (iii) the applicability of the follows the fortunes principle.

On the other hand, we can find common aspects such as the possibility for the parties to agree on the application of a foreign law to the reinsurance contract, when international arbitration is agreed. Download the report: Insuralex 2022 Reinsurance Latin America Report.

Download the report: 2022 Insuralex report: Overview of reinsurance law in Latin America




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    Tagged under: 2022 reinsurance report Latin America, Insuralex Latin America, Insurance Lawyers Latin America

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