title = "Reinsurance Solvency"

content = """
Reinsurance contributes to cedent solvency by reducing net exposure and volatility. Solvency regimes recognize reinsurance in capital calculations.

**Risk Transfer:** Reinsurance reduces the cedent's risk-bearing exposure. Capital models treat ceded risk differently from retained risk, subject to risk transfer tests.

**Counterparty Risk:** Cedents bear credit risk on reinsurers. Default by a reinsurer leaves the cedent exposed. Collateral and reinsurer selection mitigate this risk.

**Regulatory Requirements:** IRDAI and other regulators set capital requirements and recognize reinsurance within limits. Reinsurance with ineligible reinsurers may not receive full capital credit.
"""  # noqa: E501

version = "0.0.1"
