Course in Moral Hazard in Reinsurance Contracts
Online 300-hour course in moral hazard in reinsurance contracts. 6 modules covering Directive 2009/138/EC (Solvency II), Delegated Regulation (EU) 2015/35 (risk-reduction techniques) and advanced Excel. Assigned tutor and open enrolment.
Course in Moral Hazard in Reinsurance Contracts — studying from South Africa
South Africa has one of the more developed insurance and financial services sectors on the continent, with major insurers and reinsurers headquartered in Johannesburg and Cape Town. Actuarial and risk analysis skills are in demand for pricing, reserving and risk management. The Financial Sector Conduct Authority and the Prudential Authority regulate the sector, and insurers rely on data-driven models to meet capital and solvency requirements. Engineers with statistics and data skills are increasingly recruited into these roles.
Fees for South Africa: R 10 200 (South African rand), with instalments and employer sponsorship available.
Relevant bodies in South Africa
Typical roles
Questions from South Africa
Will a SEIUM qualification be recognised by the professional bodies in South Africa for this area?
SEIUM qualifications are private qualifications, not official state degrees, and they are not accredited by any South African body. Actuarial work in South Africa is overseen by the Actuarial Society of South Africa (ASSA), whose professional credentials follow their own examination and regulatory routes. Recognition of a SEIUM qualification is decided by employers or the relevant body, so verify this directly with them before enrolling.
How might this qualification be used by employers in South Africa in insurance and risk roles?
Insurers, banks and risk consultancies look for strong data, modelling and risk skills. A private qualification may support your profile, particularly alongside relevant experience, but it will not replace formal professional credentials where these are required. Whether a particular employer values it is up to them, so it is worth asking hiring managers in your target field how they would view it.
Can I study this programme alongside full-time work from South Africa, and is there a time zone or language issue?
Yes, the programme is delivered fully online and in English, so no student visa is needed to study from home. Master's programmes require 1,900 hours, postgraduate diplomas 800 hours and specialist courses 300 hours. Each student is assigned a technical tutor, fees can be paid in instalments, and employer sponsorship is possible. Ask SEIUM about the time-zone and weekly workload expectations before committing.
Take the controls.
Run a real engineering trade-off from this field. Move the sliders, watch the model react in real time and beat the challenge.
What you will be able to do
Explain moral hazard and information asymmetry between cedant and reinsurer.
Identify practical manifestations such as relaxed underwriting or lax claims management.
Design alignment mechanisms such as retentions, sliding-scale commissions and profit sharing.
Apply inspection, information and claims control clauses.
Plan an underwriting and claims audit at a cedant.
Assess the role of trust and reputation in the reinsurance market.
Propose a contractual structure that reduces moral hazard in a real case.
Who it's for
- Reinsurance underwriter who wants to specialise in Moral Hazard in Reinsurance Contracts.
- Reinsurance claims auditor who wants to specialise in Moral Hazard in Reinsurance Contracts.
- Reinsurance contracts analyst who wants to specialise in Moral Hazard in Reinsurance Contracts.
- Ceded reinsurance manager who wants to specialise in Moral Hazard in Reinsurance Contracts.
- Reinsurance lawyer who wants to specialise in Moral Hazard in Reinsurance Contracts.
- Reinsurance actuary who wants to specialise in Moral Hazard in Reinsurance Contracts.
- Graduates in engineering or science seeking to join reinsurers.
What you'll work with
- Directive 2009/138/EC (Solvency II)
- Delegated Regulation (EU) 2015/35 (risk-reduction techniques)
- IAIS Insurance Core Principles, ICP 13 (reinsurance and other forms of risk transfer)
- Principles of Reinsurance Contract Law (PRICL)
- IFRS 17 (reinsurance contracts held)
- Spanish Law 50/1980 on Insurance Contracts
6 modules · 300 h
1.1Concept of moral hazard1.2Adverse selection and how it differs1.3Information asymmetry between cedant and reinsurer1.4Where it appears in the reinsurance contract1.5Incentives of each party1.6Effects on treaty results1.7Sector vocabulary and acronyms1.8Applied contract theory1.9Illustrative market cases1.10Exercise: identifying incentives in a treaty
2.1Cedant's relaxation of underwriting2.2Unnotified changes to underwriting policy2.3Lax management of ceded claims2.4Selection of risks ceded to facultative2.5Reserving and its manipulation2.6Accelerated growth under cover2.7Insufficient retention and its effect2.8Behaviour at renewal2.9Warning signs for the reinsurer2.10Practice: analysis of a deterioration case
3.1Mandatory retention by the cedant3.2Profit sharing3.3Variable commissions based on results3.4Premium adjustment clauses3.5Agreed underwriting limits3.6Underwriting policy change clause3.7Rights to inspect records3.8Contract duration and its effect3.9Long-term relationship as an incentive3.10Practice: designing alignment clauses
4.1Periodic information the cedant must provide4.2Bordereaux and their content4.3Underwriting and claims audit4.4Access to files and its limits4.5Verification of ceded reserves4.6Treaty monitoring indicators4.7Early detection of deviations4.8Dialogue and renegotiation4.9Documentation of findings4.10Practice: audit programme for a treaty
5.1Good faith as a principle of reinsurance5.2The cedant's duty of disclosure5.3Legal consequences of non-compliance5.4Reputation in a relationship-based market5.5The broker's role in transparency5.6Dispute resolution5.7Effect on the availability of capacity5.8The cedant's culture and its importance5.9Lessons from the market cycle5.10Practice: analysis of a good-faith conflict
6.1Choice of treaty and context6.2Map of the parties' incentives6.3Identification of behavioural risks6.4Design of alignment clauses6.5Information and audit programme6.6Early warning indicators6.7Protocol for handling a deviation6.8Long-term relationship strategy6.9Analysis report6.10Defence of the work
How you'll learn
100 % online training on the SEIUM campus, with downloadable material, recorded classes and an assigned technical tutor. No fixed timetable: students progress at their own pace within the intake, which makes it possible to combine study with work.
Each module combines theory, guided reading of the original standard and applied exercises. The working software is advanced Excel, R, Python (pandas), Power BI, in free, academic or evaluation versions. Tests are studied using real procedures for analysing follow-the-fortunes clauses and claims, and for auditing a cedant's claims. Assessment is continuous, module by module, plus the final integrating project.
Build it end to end
Your final project follows the real engineering workflow, step by step, reviewed by your tutor.
Explain moral hazard and information asymmetry between cedant and reinsurer.
Identify practical manifestations such as relaxed underwriting or lax claims management.
Design alignment mechanisms such as retentions, sliding-scale commissions and profit sharing.
Apply inspection, information and claims control clauses.
Plan an underwriting and claims audit at a cedant.
Where this takes you
Requirements
- No prior degree is required.
- Internet connection and a computer capable of running the programme's software.
- Sufficient Spanish to follow technical regulatory texts.
Ready to start?
Send your application today. Our admissions team replies within 72 hours with your study plan and funding options.
Frequently asked questions
The programme comprises 300 hours in total, spread over 3 to 5 months. That is an average of 10 to 15 hours per week, compatible with a full-time job.
You work with advanced Excel, R, Python (pandas) and Power BI. Free, academic or evaluation versions are used, and the tutor indicates the free alternative where one exists.
A SEIUM diploma of your own upon passing the continuous assessment and the integrating project. It is in-house training, not an official Ministry qualification.
Yes. Modules passed in a course or postgraduate diploma in the same area are credited towards the higher programme. Check the recognition policy when you enrol.
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