Reinsurer
\ˌriɪnˈʃʊrər\
A reinsurer is an insurer for insurers.
A reinsurer provides insurance cover for insurers to help them manage the risks they have on their balance sheet. Reinsurers are often used by insurers to reduce the level of risk-related capital they need to hold, by passing on all or part of certain risks to the reinsurer. This process can free up capital for the insurer, allowing more investment in other areas of the business.