‘Not for profit’ organisation run for, and by, its membership. ARC began in 1998 as an informal talking shop helping companies manage the tail of their insurance and reinsurance operations in the London Insurance Market. It now has a formal structure, and an active agenda providing information of relevance to its members, colleagues, partners and clients. (www.aroc.org.u
Tag: RAW
Association of Unit Trusts and Investment Funds
Trade body of unit trusts and investment management companies.
Association or syndicate pool
A group of insurers who writes a large risk together and have an agreement to split the premiums and expenses. See Risk .
Association Scheme
A program for the insurance on specially designed terms of the members of an association.
Assume
(1) To reinsure all or part of another insurer’s risk. (2) A risk management technique involving the retention of risk (e.g., self-insurance).
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To take over a risk the converse of cede.
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To accept from another insurer all or part of the risk of an insured loss.
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REINSURANCE: To accept an obligation to indemnify all or part of a ceding company’s insurance or reinsurance on a risk or exposure subject to the contract terms and conditions.
Assume (Also, Accept) Reinsurance
Accept all or part of reinsured’s insurance or reinsurance on a risk or exposure through various forms of reinsurance.
Assumed (or Contractual) Liability
This insurance protects the insured in the event a loss occurs for which he has assumed liability, express or implied, under a written contract. For example, under most construction agreements with a municipality, the contractor agrees to “hold the municipality harmless” for any accidents arising out of the job. Contractual Liability Insurance would thus protect the contractor from any loss for which the municipality would be liable in connection with the construction.
Assumed interest rate (Annuities)
A return on an immediate variable annuity that is calculated when the insurer determines the initial income payment.
Assumed liability
Liability assumed under contract or agreement. More commonly known as contractual liability.
Assumed portfolio
See: PREMIUM PORTFOLIO; LOSS PORTFOLIO.