Tremor Launches Wordings™ to Digitize Reinsurance Contract Negotiation
Tremor Technologies, Inc., the leading online reinsurance pricing and placing platform, has followed up its groundbreaking in-marketplace communications platform launch with a powerful solution to completely digitize the reinsurance contract negotiation and approval process with its release of Tremor Wordings™.
“A well known industry pain point, negotiating and finalizing contract wordings for traditional reinsurance placements involves dozens of versions of documents with out of synch track changes, roughly managed with spreadsheets exchanged between insurers, brokers and reinsurers. Finalizing contracts while trying to solve for price and lines is not only time and cost inefficient but leads to significant compliance risk”, said Sean Bourgeois, Tremor CEO.
Tremor Wordings™ streamlines contract wording negotiations with dedicated data rooms. When cedents and their brokers use Tremor’s on-platform contract discussion tools as part of a Tremor placement, Tremor automatically creates individual data rooms that bring everything together in one place — final contracts, wording clarifications, contract discussion, and revisions — and seamlessly tie into the authorization phase of a the online placement process.
“With Wordings™, Tremor has completely digitized the process end-to-end so that base contract wordings can be negotiated and finalized before price discovery and allocation happens in our marketplace. This order of operations drives much more efficient trade with a perpetual audit trail so nothing is forgotten in a fraction of the time of a traditional placement”, continued Bourgeois.
To use Wordings™, cedents and their nominated brokers start each conversation by posting their draft contracts on Tremor.
Each reinsurer gets a private data room where they can discuss the contract and request (individualized) wording changes. As the discussion evolves, the data room tracks the latest version of the contract. When cedent and reinsurer agree to terms, they both click to approve the contract wording, immediately making the reinsurer eligible to authorize bindable capacity for the placement on Tremor.
The final files as well as the conversation are memorialized alongside the transaction. As a reinsurer, Tremor’s contract tools bring everything together in one convenient place — contract files, negotiation, and clarifications — for easy access during or after the transaction. As a cedent or broker, Tremor’s contract tools helps drive concurrency on base terms while managing contracts across reinsurers, keeping all contract discussions in one place.
Tremor Wordings™ is immediately available for reinsurance placements for all registered users utilizing the Tremor platform. Insurers, reinsurers and brokers interested in learning more about Tremor’s technology and how we can help supercharge facultative and treaty reinsurance placements are invited to reach out directly to the company by contacting Suzan Jo at sjo@tremor.co for a demonstration.
About Tremor
Tremor is a venture-backed insurance technology firm where world class computer scientists, economists, market designers and industry practitioners are working together to build a modern risk transfer marketplace. Tremor’s “smart market” platform incorporates intelligent market design, state-of-the-art auction technology and sophisticated optimization techniques to vastly improve how risk is transferred around the world.