Structured Reinsurance: Impact on Health Product Pricing

By Guy Carpenter · 2024

Study guide: Exam GH-201U

A Guy Carpenter paper on structured reinsurance as a capital management tool for health insurers. It sets out how risk-based capital (RBC) requirements shape the capital a health product needs, how a structured reinsurance transaction releases capital, when that is capital efficient, and what it does to the profit and growth margin in pricing.

On the syllabus

• Exam GH-201U — Outcomes 2d; the whole paper.

Background

Capitalization

• Regulatory Capital
• ACL Component H2 – Underwriting Risk

Structured Reinsurance

Structured Reinsurance Value Proposition

Capital Efficiency?

Structured Reinsurance Limits

Pricing

• Putting it together – The Impact of Capital Efficiency on Pricing

Conclusion

Sources

• Structured Reinsurance: Impact on Health Product Pricing (Guy Carpenter, 2024) — the publisher's page for the report, which links its PDF; the year comes from this page's address (the PDF carries no date)
• Structured Reinsurance: Impact on Health Product Pricing, PDF (Guy Carpenter) — the twelve-page document read for the headings; it names no author on its cover, so the authors are the publisher
• Guy Carpenter report added to Society of Actuaries syllabus — the publisher's note that the SOA added the report to its syllabus
• SOA GH 201U syllabus, Nov 2026/Mar 2027/Jul 2027 — the citation as the SOA study note GH201-401-25 and the assigned scope; the SOA's copy was not available to read, so the headings come from the Guy Carpenter PDF