1. insurance purchased by an insurance company to protect itself against large losses by transferring some of the risk to another insurer
Usage: insurance industry

Examples

• The insurance company bought reinsurance to protect against hurricane damage claims.
• Reinsurance helps smaller insurers manage their exposure to catastrophic losses.
• The reinsurance market plays a crucial role in global risk management.
• After the major earthquake, the company was grateful for its reinsurance coverage.
• Reinsurance allows insurance companies to take on more policies than they could handle alone.
• The cost of reinsurance has increased due to recent natural disasters.