DE | 39-1126612 | |
(State or other jurisdiction of | (IRS Employer | |
incorporation) | Identification No.) |
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
In 2008, the Company secured its property catastrophe reinsurance program by purchasing a portion of the coverage in both January and June. The June reinsurance purchase included a small portion of coverage for a two year term. The Company is in the process of securing coverage for the 2009 reinsurance program. In structuring the program, the Company applies a disc iplined risk management process which includes utilizing multiple catastrophe models to evaluate the estimated loss potential from various perils, analyzing the geographic spread of risk and evaluating the reinsurance cost relative to the coverage provided. The Company also evaluates the credit quality, financial strength and claims-paying ability of the reinsurers. Given the growth of the Company's property businesses, the Company anticipates buying more coverage and adjusting the retention for the growth of the business.
The Company utilizes catastrophe reinsurance primarily for its Assurant Specialty Property business to protect the Company's capital base from catastrophe risk for its customers and to lessen the variable effect of catastrophes on earnings for shareholders.
Assurant, Inc. | ||||||||
Date: December 04, 2008 | By: | /s/ Stephen W. Gauster | ||||||
Stephen W. Gauster | ||||||||
Senior Vice President, Chief Corporate Counsel and Assistant Secretary | ||||||||