Risk pool

An insurance pool is formed by insurers as a kind of insurance to cover large or difficult to calculate risks, such as nuclear or terrorist disasters.

The insurers undertake to draw all the risks identified in the pool contract to a pre-determined contribution key. Usually, pools are established to cover large or difficult to calculate risks. The individual risks are not yet fixed at the creation of the pool. In each case, an insurer insures a policyholder and the risk ceded to the pool. Each pool member is involved in any risk of the pool.

The best-known insurance pools are:

• Nuclear pool
• Terrorism pool, see Extremus insurance AG
• Pharmaceutical Reinsurance

• Insurance
• Re-insurance