CedeOS

Bordereaux Intelligence

Bordereaux Validation Software — Row-Level Rules Engine for Reinsurance.

CedeOS catches the five systematic error categories that manual review misses — before submission, not after the debit note.

The Condition

The bordereaux you submit reflects data from October 10. The policy cancelled on October 14.

Your quarterly submission contains 3,247 rows across 14 cedants. The totals reconcile. The column headers match. The cession rates appear correct when summed by class of business. Your senior actuary signs off.

Week 8: the reinsurer's debit note arrives KES 2.3M short of expectation. The dispute begins. 14 weeks later, you recover at 40–60 cents on the dollar. The root cause: 23 rows across three cedants carried systematic errors invisible at aggregate level.

A vehicle coded as property and ceded at 40% instead of 30%. A cancelled policy still on the bordereaux from a PDF submission by your largest MGA. A rounding pattern on currency conversion that only one analyst noticed — by chance, not by process.

Manual validation cannot cover every row. It checks totals. The errors live in the rows.

Without CedeOS

3,247 rows received

Totals reconcile — senior actuary signs off

Spot-check on aggregate totals

23 row-level errors pass undetected

Submission sent to reinsurer

Debit note arrives USD 1.9M short of expectation

14-week dispute cycle

Recovery at 40–60 cents on the dollar

14 weeks · 40–60¢ recovery

With CedeOS

3,247 rows ingested

Any format — auto-normalised, currency-converted

Every row validated against treaty

23 deviations flagged across 5 error categories

Exceptions reviewed — 1 click

Actuary approves or corrects. Clause cited on each.

Submission sent — dispute-proof

Zero shortfall. Zero dispute. Full audit trail.

Same day · 100% recovery

The Cost

The errors are invisible in aggregate. They live in the rows.

01

Premium leakage at the row level

Industry average: 2.5% of GWP leaks through systematic row-level errors that aggregate to correct totals. At $50M GWP, that is $1.25M per year — invisible without row-level validation.

2.5% GWP leakage — industry benchmark across African and Asian programmes

02

14-week post-submission disputes

When errors surface at the reinsurer, the dispute cycle averages 14 weeks. Recovery comes at 40–60 cents on the dollar. The analyst who could have caught it spent their time preparing the submission manually.

14-week dispute cycle — industry baseline across African reinsurance programmes

03

IFRS 17 audit exposure

The external auditor traces the CSM back to source bordereaux. The file is 'Q2_recon_v4_FINAL_actual.xlsx.' There is no validation trail, no clause citation, no evidence of systematic checking. The finding is material.

IFRS 17 requires full traceability — effective since January 2023

The Standard

What a validated reinsurance submission looks like.

< 3 hrs

Quarterly close

vs. 6-week manual baseline

Zero

Post-submission disputes

Target with pre-submission validation active

5

Error categories caught per submission

All systematic — none visible without row-level check

100%

Row coverage

Every row validated, not spot-checked totals

Projected Outcome

What row-level validation eliminates.

Pre-submission validation across five error categories eliminates the conditions that create post-submission disputes. When every row is validated against its applicable treaty clause before submission, the reinsurer receives accurate figures. The dispute does not start.

KES 10M/quarter

Cession rate misclassification caught

KES 110K/event

Per reinstatement miscalculation prevented

USD 34K/quarter

Currency conversion errors corrected

KES 4M+/event

Per aggregate breach detected early

3 weeks/dispute

Actuary time saved per dispute avoided

Treaty structure analysis, CedeOS 2024. Pilot validation in progress. Assessment available on request.

The Mechanism

Five error categories. Each invisible at aggregate level. Each caught at the row.

The CedeOS validation taxonomy was developed from analysis of East African and Asian bordereaux structures and published treaty terms across target markets. Each category has defined detection rules, treaty clause mapping, and financial impact quantification.

01

Cession Rate Misclassification

A vehicle coded as property and ceded at 40% instead of 30% looks correct in aggregate when mixed with legitimate property cessions. It is wrong on every row. Multiplied across 200 policies, it generates KES 10M per quarter in under-ceded premium.

KES 10M/quarter — CedeOS internal analysis, 2024

02

Reinstatement Premium Miscalculation

Treaty specifies reinstatement on original annual premium. Endorsement changes the current premium mid-term. System calculates on post-endorsement figure. The clause on page 47 is never checked against each policy's endorsement history.

KES 110K per XL trigger event — treaty structure analysis, CedeOS 2024

03

Wrong-Date Currency Conversion

Treaty requires conversion at transaction date. System uses month-end rate. The difference compounds across hundreds of cross-border policies. USD 34K per quarter — invisible until the reinsurer's own reconciliation catches it.

USD 34K/quarter — currency analysis across cross-border programmes

04

Undetected Aggregate Retention Breach

XL treaty retention is KES 50M. Accumulation tracked in a spreadsheet. Two claims in weeks 10-11 push past threshold. Nobody knows until annual audit. Recovery at 40-60 cents — 8 months later.

KES 4M+ per aggregate breach — East African XL programme modelling

05

Cancelled Policies on Bordereaux

Policy cancelled October 14. Bordereaux data reflects October 10. The MGA's PDF submission carries the policy for the full quarter. Three weeks of dispute per occurrence when the reinsurer's system flags the overlap.

3 weeks per dispute — industry baseline for cancelled policy disputes

01Cession Rate
FAIL
Treaty

35% — Article 3 Medical

Filed

30% submitted

ImpactUSD 217 shortfall
02Exclusion Misclassification
FAIL
Treaty

Motor Commercial >3.5t excluded — Art.9(b)

Filed

Class 06 submitted as Property

ImpactUSD 1,692 invalid cession
03Reinstatement Calculation
REVIEW
Treaty

Original annual premium at inception — Art.14.2

Filed

Post-endorsement premium used

ImpactUSD 31 per event
04Aggregate Retention Breach
FAIL
Treaty

USD 385K net retention — Art.22.1

Filed

USD 416K accumulated — not flagged

ImpactUSD 31K XL treaty not triggered
05Cancelled Policy on Bordereaux
REVIEW
Treaty

Active cover period only — Art.6

Filed

Policy cancelled Oct 14, Q3 submission Oct 10

ImpactUSD 340 invalid — 3-week dispute
Clean Row
PASS
Treaty

Property 35% — Article 3

Filed

35% — matches exactly

ResultAll clauses satisfied

The Pipeline

Ingest. Validate. Submit. One pass.

01

Ingest

Any format accepted. Email, SFTP, CSV, PDF, API. 40+ column naming conventions normalised. Currency converted at transaction-date rates. Confidence-scored per field.

02

Validate

Every row checked against applicable treaty clauses. Five error categories. Cession rates, reinstatements, currency, aggregate accumulation, cancellations. Single pass. Clause cited on every deviation.

03

Submit

Validated rows submitted automatically. Deviations held for actuary review. One click to approve exceptions. Full audit trail. Submission-ready output for every framework.

01Ingest
ExcelCSVPDFEmailSFTPAPI

40+ column naming conventions · CBK/RBA FX rates · Confidence-scored per field

1,847 rows · 99.3% confidence

02Validate
Cession RateExclusionsReinstatementAggregateCancellations

Every row × every applicable treaty clause · Clause citation on every deviation

3 FAIL · 2 REVIEW · 1,842 PASS

03Submit
IRA KenyaNAICOMSAMAIFRS 17

Validated rows auto-submit · Exceptions to actuary queue · Full audit trail

Zero disputes · 100% traceable

Regulatory Compliance

Validated output for every framework your operation requires.

IRA Kenya

Bordereaux validation against IRA treaty reporting requirements. Cession rate accuracy per class. Quarterly submission format compliance.

NAICOM Nigeria

40% minimum cession rate validated per row. Error quantification in NGN. Regulatory reporting format output.

SAMA Saudi Arabia

Takaful bordereaux structure validated. Wakala fee accuracy per participant. Conventional and Islamic programme support.

IFRS 17

Every validation decision logged with clause citation. CSM impact of errors quantified. Full traceability from source policy to financial statement.

The Path

From first assessment to validated submission in four weeks.

01

Day 0

Technical Brief

Architecture, five error categories, validation methodology, data residency, IFRS 17 audit trail approach.

02

Week 1

Pilot Assessment

One quarter of bordereaux data. We return a validation report showing errors by category, cedant, and financial impact.

03

Week 2

Live Demo

Your data, your treaties. See exactly what the five error categories surface in your own submission.

04

Week 4

First Validated Submission

Pilot go-live. First bordereaux validated row by row. Every deviation clause-cited. Submission dispute-proof.

Get started

Your next submission should have zero disputes.