Company: OXBRW
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0001641172-25-000736
Chunk: 309

Company: OXBRIDGE RE HOLDINGS Ltd
Filing Date: 2025-03-26
Form: 10-K
Item: Item 1
Chunk 309
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 industries have historically been cyclical businesses with periods
of intense competition, often based on price. If actual renewals do not meet expectations or if we choose not to write on a renewal basis
because of pricing conditions, our premiums assumed in future years and our future operations would be materially adversely affected.

Reputation
is an important factor in the reinsurance industry, and our lack of an established reputation may make it difficult for us to attract
or retain business.

Reputation
is a very important factor in the reinsurance industry, and competition for business is, in part, based on reputation. Although our reinsurance
policies will be fully collateralized, we are a relatively newly formed reinsurance company and do not yet have a well-established reputation
in the reinsurance industry. Our lack of an established reputation may make it difficult for us to attract or retain business. In addition,
we do not have or currently intend to obtain financial strength ratings, which may discourage certain counterparties from entering into
reinsurance contracts with us.

14

If
our losses and loss adjustment expenses greatly exceed our loss reserves, our financial condition may be significantly and negatively
affected.

Our
results of operations and financial condition will depend upon our ability to accurately assess the potential losses and loss adjustment
expenses associated with the risks we reinsure. Reserves are estimates at a given time of claims an insurer ultimately expects to pay,
based upon facts and circumstances then known, predictions of future events, estimates of future trends in claim severity and other variable
factors. The inherent uncertainties of estimating loss reserves are generally greater for reinsurance companies as compared to primary
insurers, primarily due to:

    ●
    the lapse of time from
    the occurrence of an event to the reporting of the claim and the ultimate resolution or settlement of the claim;

    ●
    the diversity of development
    patterns among different types of reinsurance treaties; and

    ●
    the necessary reliance
    on the client for information regarding claims.

Our
estimation of reserves may be less reliable than the reserve estimations of a reinsurer with a greater volume of business and an established
loss history. Our actual losses and loss adjustment expenses paid may deviate substantially from the estimates of our loss reserves and
could negatively affect our results of operations. If our loss reserves are later found to be inadequate, we would increase our loss
reserves with a corresponding reduction in our net income and capital in the period in which we identify the deficiency, and such a reduction