Publication of the Principles of Reinsurance Contract Law (PRICL 2025)
UNIDROIT, as a longstanding partner of the project to formulate a “restatement” of existing global reinsurance law, is very pleased to announce that the Principles of Reinsurance Contract Law (PRICL 2025) were published in October 2025 and officially launched in London in November 2025. The PRICL 2025 are available online here.
Overview of the project
The PRICL are a non-binding set of principles and rules accompanied by comments and aimed at formulating a restatement of global reinsurance contract law. They were developed against the backdrop of the UNIDROIT Principles of International Commercial Contracts (UPICC), which are referred to as general contract law rules applicable for all matters not specifically covered by the PRICL.
The UNIDROIT Secretariat has actively participated in the biannual meetings of the Working Group, with a view to supporting the use of the UPICC as general contract law rules and explaining, be it the case, their content and interpretation.
For an overview of the project’s scope and aim, see: H. Heiss, From Contract Certainty to Legal Certainty for Reinsurance Transactions: The Principles of Reinsurance Contract Law (PRICL)
Background and history of the project
In July 2015, the Secretariat was approached by a group of scholars and practicing lawyers led by Professor Anton K. Schnyder and Professor Helmut Heiss (University of Zürich, as “Lead Agency”), Professor Martin Schauer (University of Vienna) and Professor Manfred Wandt (University of Frankfurt), who were examining the feasibility of formulating “Principles of Reinsurance Contract Law” (PRICL).
The project leaders expressed the view that the proposed principles presupposed the existence of adequate rules of general contract law. Rather than attempting to re-create such rules, the proposed new principles should refer to the UNIDROIT Principles of International Commercial Contracts as the general part of contract law. UNIDROIT was invited to participate in the project to provide information and support on the application of the UPICC.
The project received financial support from the Swiss National Science Foundation, the German Research Foundation, and the Austrian Research Promotion Fund. In addition to the project managers, the research team included well-known representatives from Belgium, Brazil, China, France, Germany, Great Britain, Italy, Japan, Singapore, South Africa, and the United States. In addition, two advisory groups made up of representatives of the global insurance and reinsurance markets advised the research team. For more details on the composition of the Working Group, see the official PRICL website.
The Governing Council decided to recommend this topic for inclusion in the UNIDROIT Work Programme for the triennium 2017-2019 by the General Assembly, and recommended to assign it a low level of priority in view of the fact that the project was independently financed. The General Assembly endorsed this recommendation of the Governing Council at its 75th session, on 1 December 2016.
The first part of the project, covering a General Part and Chapters on Duties, Remedies, Aggregation, and Allocation, was approved for publication by the UNIDROIT Governing Council and published online in December 2019.
The UNIDROIT General Assembly, at its 81st session in December 2022, upon recommendation of the Governing Council, adopted the continuation of the project for the Work Programme 2023-2025 under the same conditions as before, to complete the second part of the instrument.
The finalised the text of the black-letter rules and comments of the instrument, with inclusion of principles on the “Period of the reinsurance contract”, “Back-to-back clause”, and “Rules on retention”, was submitted to the Governing Council at its 105th session in May 2025. The Governing Council noted with satisfaction the finalisation of the instrument, commended the use of the UPICC as a model for general contract law rules, and authorised the publication of the instrument.
Meetings of the Working Group
The participants at the first workshop of the Project Group (Zürich, 27-30 January 2016) agreed that specific principles and comments should be drafted on the following topics: choice-of-law, non-disclosure, errors and omissions, conditions precedent, event/accumulation/aggregation, late notice, back-to-back cover, “follow the fortunes” and “follow the settlement” principles, cooperation, time bar rule, termination and recapture, extra contractual obligations of the reinsured. The participants also agreed on a timeline with a view to substantially completing drafting of PRICL by the year 2018. UNIDROIT has actively participated in the biannual meetings of the Working Group, organised by the Universities of Frankfurt, Vienna and Zürich, with a view to support the use of the Principles as general contract law rules and explaining, be it the case, their content and interpretation.
At its 98th session, the Governing Council took note of the finalised version of the black-letter rules and comments of the PRICL, commended their use of the UNIDROIT Principles on International Commercial Contracts as a model and as rules of general contract law, and authorised the Secretariat to refer to the text of the PRICL on the UNIDROIT Website once the publication was finalised.
Follow-up activity and implementation
On 15 August 2025, UNIDROIT and the University of Zürich had already signed a Memorandum of Understanding (MoU) to facilitate the promotion, dissemination, and updating (where necessary) of the PRICL. The MoU envisages activities such as holding joint workshops and public events to disseminate knowledge of the PRICL among interested parties, promoting PRICL as a teaching tool for courses on reinsurance law, and exploring opportunities for financial support, including through the support of the University of Zürich Foundation.
More information on promotion and implementation activities and on the translation of the instrument in various languages is found on the PRICL website.