Dealer Reinsuranceby Elite FI Partners
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Reinsurance tool

Reinsurance Performance Estimator

Enter your production and terms to estimate how a dealer reinsurance program could perform over a five year writing period plus runoff, and see it next to a retro profit participation estimate. Every figure is an estimate based on what you enter, not a guarantee. For an overview of the structures, see dealer reinsurance structures.

Run the estimateRequest a custom pro forma
Your numbers

Estimate your performance.

Enter your production and terms. The results update as you type. Adjust the fees and taxes to match your program.

= 480 per year
Reinsurance fees and taxes
Retro terms
Estimated reinsurance pretax
$1,451,000
over the writing period and runoff
Estimated retro pretax
$1,053,763
recommended path on these numbers: Reinsurance
Estimated pretax gainReinsuranceRetro
Pretax gain, writing years 1 to 5$1,036,000$746,501
Pretax gain, runoff$415,000$307,262
Pretax gain, total$1,451,000$1,053,763
Recommended path on these numbersReinsurance
Estimated pretax gain by period
ReinsuranceRetro
$415k$274k$137k$0$46k$38kY1$150k$108kY2$250k$179kY3$296k$211kY4$296k$211kY5$415k$307kRunoff
Cumulative reinsurance pretax
Reinsurance, running total
$1451k$958k$479k$0$46k$195k$445k$740k$1036k$1451kY1Y2Y3Y4Y5Total
Reinsurance, year by year
LineYear 1Year 2Year 3Year 4Year 5RunoffTotal
Earned premium$108,333$308,333$508,333$600,000$600,000$875,000$3,000,000
Underwriting profit$48,750$138,750$228,750$270,000$270,000$393,750$1,350,000
Investment income$5,417$15,417$25,417$30,000$30,000$43,750$150,000
Expenses$8,500$4,500$4,500$4,500$4,500$22,500$49,000
Pretax gain$45,667$149,667$249,667$295,500$295,500$415,000$1,451,000

These figures are estimates. They are based on the inputs above and are not a guarantee of results. Actual performance depends on claims experience, reserves, product mix, pricing, fees, and the structure you choose. Review any structure decision with qualified tax, legal, accounting, and reinsurance professionals.

Request a custom pro formaNot sure which structure? Start here
How it works

What does the reinsurance estimator model?

The estimator mirrors the same pro forma model our team uses with dealers. Premium written on F&I contracts earns out over the length of the contract term rather than all at once, so the early years show less earned premium than the years that follow. Claims are estimated from your loss ratio, the reserve earns investment income, and fees and premium tax are applied where they exist.

It runs two pro formas on your numbers. The reinsurance pro forma reflects owning or participating in the company that holds the reserves and keeps the underwriting profit. The retro pro forma reflects a profit participation agreement after claims. Showing both, across the writing period and the runoff, makes it clear which path your production supports.

To go deeper on the structures behind the numbers, read about CFC reinsurance, the Super CFC, the Dealer Owned Warranty Company, and retro profit participation.

Estimates, not guarantees

Why a custom pro forma is the real answer.

An estimate built on a few inputs is a useful starting point, but it cannot capture everything that drives results. Claims performance, reserve structure, product mix, administrative fees, and the specific structure all matter, and small differences compound over a multi year program.

That is why the figures here are estimates rather than promises, and why we do not bake in an assumed improvement that varies from store to store. A custom pro forma built on your actual production and statements is far more precise, and it is the right basis for any decision. If you want to understand the costs in a current program first, the reinsurance transparency page includes a cost worksheet.

FAQ

Frequently asked questions.

What does the Reinsurance Performance Estimator do?

It estimates how a dealership program could perform over a five year writing period plus a runoff period, based on the production and terms you enter. It shows a reinsurance pro forma next to a retro pro forma so you can see which fits your numbers. Every figure is an estimate, not a guarantee.

Are these numbers guaranteed?

No. Every figure is an estimate based on the inputs you provide. Actual results depend on claims experience, reserves, product mix, pricing, fees, and the structure you choose. The estimate is a starting point for a conversation, and final decisions should be reviewed with qualified tax, legal, accounting, and reinsurance professionals.

Does this show what Elite FI could improve?

No. This estimator models only the numbers you enter. The improvement a stronger product menu and structure can create varies a great deal by dealership, so we keep it out of the estimate rather than present a variable as a fixed figure. A custom pro forma is the right place to model specific scenarios on your actual statements.

What is the runoff period?

Reinsured contracts keep earning premium and paying claims after they are sold, across the length of their term. The writing period covers the years you are selling new contracts, and the runoff period covers the tail as the last contracts finish earning. The estimator includes both so the picture is complete.

What is the difference between reinsurance and retro here?

Reinsurance means the dealer owns or participates in the company that holds the reserves and keeps the underwriting profit and investment income. Retro is a profit participation agreement where the dealer shares in profitability after claims, without forming a company. The estimator shows both so you can see which fits your numbers. Learn more on the Retro and CFC pages.

How accurate is the estimate?

The engine mirrors the same pro forma model Elite FI uses internally, including the pro-rata earn-out of premium over the contract term. It is accurate for the inputs given, but it uses simplifying assumptions. A custom review using your real production and statements is the right next step.

Recommended resources
The real numbers

Request a custom pro forma.

Send us the estimate you just built. We will receive the figures you entered along with your contact details and follow up to model your store on its actual production, across every structure side by side.

The estimate you built above is attached automatically: your inputs and the estimated reinsurance and retro results are included with this request.