2. The difference between reinsurance divided in and reinsurance divided out is as follows: (1) The business purpose is different. The main purpose of arranging reinsurance business through separate companies is to expand insurance capacity, transfer risks and ensure the stability of business: the main purpose of separate companies is to obtain premium income, and (2) the asymmetry of information possession. Reinsurance is that the original insurer seeks the maximum reinsurance protection at the minimum cost after making statistics, analysis and prediction of its underwriting risks; This is not the case with reinsurance. The reinsurer can only decide whether to accept reinsurance according to the indirect information provided by the original insurer through comprehensive analysis and weighing. (3) The operating results are not completely consistent.