S1: Proportional reinsurance is a form or reinsurance where corporate is ceded on the basis of a contract between the ceding insurer and the reinsurer, whereby the ceding insurer agreed to cede and the reinsurer agrees to accept automatically the reinsurance of the risk written by the ceding insurer, which fall within the scope of the agreement, subject to the limits and terms specified therein. S2: Retrocession is a reinsurance assumed where the reinsurer will retrocede a whole or a part of the risk accepted from the direct insurer to another reinsurer. S3: Ceding insurer is an insurer that reinsures part of the whole of a risk with one or more reinsurance, the risk is considered as an inward reinsurance
S1: Proportional reinsurance is a form or reinsurance where corporate is ceded on the basis of a contract between the ceding insurer and the reinsurer, whereby the ceding insurer agreed to cede and the reinsurer agrees to accept automatically the reinsurance of the risk written by the ceding insurer, which fall within the scope of the agreement, subject to the limits and terms specified therein. S2: Retrocession is a reinsurance assumed where the reinsurer will retrocede a whole or a part of the risk accepted from the direct insurer to another reinsurer. S3: Ceding insurer is an insurer that reinsures part of the whole of a risk with one or more reinsurance, the risk is considered as an inward reinsurance
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter9: Long-term Liabilities
Section: Chapter Questions
Problem 101.2C: Debtholders receive note contracts, one for each note, that describe the payments promised by the...
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S1: Proportional reinsurance is a form or reinsurance where corporate is ceded on the basis of a contract between the ceding insurer and the reinsurer, whereby the ceding insurer agreed to cede and the reinsurer agrees to accept automatically the reinsurance of the risk written by the ceding insurer, which fall within the scope of the agreement, subject to the limits and terms specified therein. S2: Retrocession is a reinsurance assumed where the reinsurer will retrocede a whole or a part of the risk accepted from the direct insurer to another reinsurer. S3: Ceding insurer is an insurer that reinsures part of the whole of a risk with one or more reinsurance, the risk is considered as an inward reinsurance
Only S2 is incorrect
Only S3 is correct
All statements are correct
All statements are incorrect
Only S1 is incorrect
Only S1 is correct
Only S3 is incorrect
Only S2 is correct
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