A term used in both treaty and facultative reinsurance which incorporates by reference all of the terms (as well as amendments, modifications, alteration, and waivers) of the original policy written by the insurer that are not modified in the reinsurance contract, i.e., the location of the property and the rate, among others.
Insurance Encyclopedia
Original Conditions Clause
A provision in a reinsurance agreement which incorporates by reference all of the terms (as well as amendments, modifications, alterations and waivers) of the original policy written by the ceding company that are not otherwise addressed in the reinsurance agreement. See also Follow the Fortunes.
Original Cost
The actual payment for a property by its present owner or the actual cost at the time the building was first constructed and placed into service.
Original Cost / Original Cost Value
Original cost is the money paid for acquisition of the property.
Original Cost less Accounting Depreciation / Original Cost less Accounting Depreciation Value
Original cost less accounting depreciation without considering inflation and physical or technical depreciation.
Original Cover
The original slip used for placing an open cover.
Original coverage
The insurance transacted between the primary insurer and the original insured in contrast to the insurance the primary insurer obtains from a reinsurer.
Original Deductions/Discounts
The deductions or discounts allowed by a ceding insurer on a policy which is the subject of reinsurance.
Original Equipment Manufacturers (OEM accounts)
Customers who incorporate the exporter’s product into their own merchandise for resale under their own brand names.
Original Gross Premium Income (OGPI)
The gross premium income received by an insurer in relation to business that is covered by a non-proportional reinsurance treaty. The reinsurance premium is calculated as a percentage of this OGPI.