Your company will receive an insurance benefit that will help cover the cost of finding a replacement with the necessary skills and expertise. The benefit will also help pay the disabled person's salary. A reinsurance company insures the coverage that other insurance companies have already issued. This process is called reinsurance. The two most notable are for Life insurance and for Property and Casualty insurance.
Reinsurance helps to spread insurance risk among a greater number of insurance companies.
With reinsurance coverage, an insurance company can maintain financial stability in the event that it is suddenly faced with a large claim, or a number of claims, which can sometimes occur after a catastrophic event such as a hurricane. If the policies were reinsured, the reinsurance companies will pay their portion of the claims.