Bordereau (Bordereaux)

Overview

Bordereaux are central to delegated-authority insurance, where a managing general agent (MGA), coverholder or broker binds policies or handles claims for an insurer, and to reinsurance, where a cedent reports to its reinsurers. A premium (or risk) bordereau lists the policies written in the period, with the insured, cover, limits, premium and taxes. A claims bordereau lists claims notified, paid and reserved. Insurers use bordereaux to record premium and claims in their own systems, monitor that partners are writing within their authority, and report to regulators. In the Lloyd's market they are submitted in standard formats.

Why It Matters

Bordereaux arrive from many partners in different layouts, often late and with errors. Insurers spend significant manual effort cleaning, mapping and validating them before the data can be used, and until that is done they have only a partial view of the risk and claims they are carrying.

Types of bordereaux

• Premium or risk bordereau: the policies bound in the period, with insured details, coverage, limits, premium, commission and taxes.
• Claims bordereau: claims notified, paid, reserved and closed in the period, with amounts and status.
• Reinsurance bordereau: the cedent's report to its reinsurers of the risks or claims falling within a treaty.

Common bordereau problems

• Every partner uses its own layout, column names and codes.
• Missing or inconsistent fields, such as dates, currencies and policy references.
• Late submissions that delay premium and claims reporting.
• Risks written outside the delegated authority, which go unnoticed until someone checks the data.

Bordereaux management

Bordereaux management is the process of receiving, validating, mapping and loading bordereaux into the insurer's systems. Modern approaches map each partner's format to a standard schema once, validate every submission automatically against the binding authority and data rules, and send only the exceptions to a person.

How New Odyssey Helps

New Odyssey's integration and AI data-mapping capabilities can ingest bordereaux in partners' own formats, map them to a standard schema, and flag errors and breaches of authority for review.

Frequently Asked Questions

What is the plural of bordereau?

Bordereaux. The word is French for a statement or schedule.

Who prepares bordereaux?

The party acting under delegated authority, such as an MGA, coverholder or third-party administrator, prepares them for the insurer. In reinsurance, the cedent prepares them for the reinsurer.

How often are bordereaux submitted?

Usually monthly, though quarterly submissions are also common. The frequency and format are set in the binding authority or reinsurance agreement.