The issuer of an insurance contract that contractually obtains an indemnification for all or a designated portion of the risk from one or more reinsurers.
Tag: REINSURANCE
Ceding Commission
REINSURANCE: An amount deducted from the reinsurance premium to compensate a ceding company for its acquisition and other overhead costs, including premium taxes. It may also include a profit factor and is called a ceding allowance. See Overriding Commission and Sliding Scale Commission.
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REINSURANCE: The cedant’s acquisition costs and overhead expenses, taxes, licenses and fees, plus a fee representing a share of expected profits – sometimes expressed as a percentage of the gross reinsurance premium.
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The cedant’s acquisition costs and overhead expenses, taxes, licenses and fees, plus a fee representing a share of expected profits, which often is expressed as a percentage of the gross reinsurance premium.
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UK: The reinsurer’s payment to the reinsured as a reimbursement of all or part of the reinsured’s expenses on the original business, plus a contribution to overheads.
Ceding Company
REINSURANCE: (i) Insurance Company that places Reinsurance business of its original risk with a Reinsuring Company. (ii) An Insurer who purchases and is entitled to indemnification under a contract of Reinsurance (also known as the Reinsured).
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MEDICAL,USA: Insurance company that places reinsurance business of its original risk, all or part of those risks that it does not wish to retain in full, with a reinsuring company. Insurer that sells its policies directly to the public either through its own salaried employees or exclusive agents. Also called ceding insurer or referred to as cedent.
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Refer: “Reinsurance, Ceding Company”
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REINSURANCE: The company that transfers its risk to a reinsurer. See Cedent, Reassured, Reinsured.
Certificate
REINSURANCE: I ssued in evidencing Reinsurance between companies.
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MEDICAL,USA: Statement that an insurance policy has been written for the benefit of one or more individuals. This document may be used in evidencing reinsurance between insurance companies.
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The condition still found in policies issued in some countries requiring the certificate of a magistrate to support a claim under a Policy seems to have long since fallen out of use. Certificate is a statement that a Policy has been written for the benefit of one or more individuals. Also issued in evidencing Reinsurance between companies.
Cession
REINSURANCE: (01) An Exactly stated yielding of a property or right under a Reinsurance agreement. A Reinsurance. An amount ceded as Reinsurance. (02) The amount given off by way of Reinsurance and therefore amount accepted by the Reinsurer.
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UK: (1) in reinsurance, the act of ceding business to a reinsurer, (2) a block of business so ceded.
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MEDICAL,USA: 1. A reinsurance. 2. In reinsurance, a property, parcel, or unit of insurance that an insurance company cedes to a reinsurer. 3. An amount ceded as reinsurance.
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A particular risk exposure that is transferred under a reinsurance treaty.
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UK: A specific item of reinsurance under a reinsurance treaty.
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Refer: “Reinsurance, Cession”
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REINSURANCE: The portion of insurance ceded by the ceding company to the reinsurer.