We use international reinsurance to backstop our private programs right now. The federal government could do the same, basically taking those catastrophic risk layers and off-loading them on to the international market. It de-risks the government from having to take on all of that risk during a large systemic risk.
Canada is a great place to do business. Reinsurers look to do business here, but the programs are very limited because very few crop insurers and the federal government take part in the international reinsurance market, taking on that catastrophic risk.
