What is rating in SAP (FS-RI - Reinsurance)?

SAP Term: rating

• Component: FS-RI

• Component Name: Reinsurance

• Description: a Premiums are fixed during the rating process. b A rating indicates a company's creditworthiness recognized scale: from AAA = prime to D = in default.

Smart SAP Assistant

• Key Concepts: 
  Rating in FS-RI Reinsurance is the process of assigning a risk factor to a particular reinsurance contract. This risk factor is used to determine the amount of premium that the reinsurer will charge for the contract. The rating process takes into account factors such as the type of contract, the amount of coverage, and the reinsurer's experience with similar contracts. 
  
  How to use it: 
  In order to use rating in FS-RI Reinsurance, the reinsurer must first assess the risk associated with the contract. This assessment should include an analysis of the type of contract, the amount of coverage, and any other relevant factors. Once this assessment is complete, the reinsurer can then assign a risk factor to the contract. This risk factor will be used to determine the amount of premium that will be charged for the contract. 
  
  Tips & Tricks: 
  When rating a reinsurance contract, it is important to consider all relevant factors in order to accurately assess the risk associated with it. Additionally, it is important to keep in mind that different reinsurers may have different methods for rating contracts, so it is important to research each reinsurer's rating process before entering into a contract. 
  
  Related Information: 
  For more information on rating in FS-RI Reinsurance, please refer to SAP's documentation on Reinsurance Rating (https://help.sap.com/viewer/product/FS-RI/latest/en-US/f9f8d7a2b3e14c8a9f3d7c2b6f5e4d1a.html).