Reinsurance is insurance protection taken out by an insurer to limit its exposure to losses on an original insurance contract.
A property insurer may not be able to buy reinsurance to protect its own bottom line unless it keeps its potential maximum losses undera certain level.
The purpose of reinsurance is for a company to avoid having too large a risk or concentration of risks, withinthe company.
Reinsurance is insurance protection taken out by an insurer to limit its exposure to losses onan original insurance contract.
excess of loss reinsurance, proportional reinsurance coverage, quota share reinsurance, reinsurance treaty, stop loss reinsurance, surplus reinsurance
Examples of 'reinsurance' in a sentence
reinsurance
Lloyd's is on the hook for close to thirty billion pounds in insurance and reinsurance.
Terman, Douglas CORMORANT
All related terms of 'reinsurance'
reinsurance pool
the grouping of insurers that provide partial or complete insurance coverage to other insurers for (a risk on which a policy has already been issued)
reinsurance treaty
A reinsurance treaty is a contract that defines the terms of reinsurance business.
surplus reinsurance
Surplus reinsurance is reinsurance of amounts over a specified amount of insurance .
stop loss reinsurance
Stop loss reinsurance is a form of reinsurance under which the reinsurer pays the cedant's losses in any year over a particular percentage of the earned premium .
quota share reinsurance
Quota share reinsurance is a form of reinsurance in which the reinsurer accepts a certain percentage of all or certain parts of the business of the reinsured person or company.
excess of loss reinsurance
Excess of loss reinsurance is a type of reinsurance whereby an insurer pays the amount of the loss for a particular risk up to an agreed limit .
proportional reinsurance coverage
Proportional reinsurance coverage is reinsurance of part of original insurance premiums and losses being shared between a reinsurer and insurer .