Reconciling bordereaux by hand works for a handful of cedants but breaks down at scale. Here's why, and what automated reconciliation looks like instead.
Manual bordereaux reconciliation doesn't show up as its own line item, but its cost still lands squarely on the P&L through missed recoveries and rushed labor.
Automating bordereaux reconciliation only works if it produces a stronger audit trail than the manual process it replaces, not a weaker one.
Whether manual bordereaux reconciliation is an acceptable risk depends on comparing what it actually produces against the reinsurer's own stated risk appetite.
Bordereaux reconciliation touches underwriting, finance, and operations, which is exactly why it often ends up with no clear executive owner at all.
Manual bordereaux reconciliation works fine for a handful of cedants, but the process itself starts breaking down long before anyone plans for it.