How to Evaluate a Dealer Reinsurance Program and Avoid Costly Mistakes

The reinsurance B account is one of the most powerful and misunderstood tools in dealer reinsurance. Once funds move beyond required reserves, dealers gain new opportunities to influence investment performance, liquidity, and long-term wealth. The question is not whether you have a B account. The question is whether it is working as hard as it should.

Most dealer reinsurance programs are never truly evaluated after setup. This practical scorecard helps you rate transparency, control, reporting, product performance, partner involvement, and review discipline so you can identify hidden gaps, ask better questions, and decide whether your structure is really working for you.

NADA creates nonstop conversations about reinsurance, but not all programs are built the same. This guide helps dealers evaluate reinsurance structures, understand true costs, and separate clarity from sales pitch.

Dealer reinsurance can be a powerful long-term strategy, but only when it is understood and managed correctly. This guide explains how car dealer reinsurance works, compares common structures, breaks down hidden fee loads, and outlines volume and risk considerations across automotive, powersports, and RV dealerships. Written to be educational, transparent, and agnostic.