in a reinsurance policy, the aggregate amount that the insurer must retain before anything is paid by the reinsurer; for example £200,000 XS £100,000 with an aggregate retention of £500,000 means that a £150,000 loss would erode £50,000 of the aggregate; once the aggregate has gone, the reinsurance policy begins paying out, subject to the excess.

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Total (limit of indemnity, premium, retention etc).

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The greatest amount recoverable on account of a single loss or during a policy period, or on a single project.

A form of excess of loss reinsurance loss where both the deductible and reinsurer’s limit of liability are expressed as annual aggregate amounts rather than on a per risk or per occurrence basis. The cover, unlike a stop loss treaty is expressed in cash sums not loss ratios. The arrangement is suitable for a reinsured whose concern is protection against cumulative losses on an account, e.g. medical insurances and not against a major ‘per occurrence’ exposure.

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a form of excess of loss reinsurance which indemnifies the ceding company against the amount by which the ceding company’s losses incurred during a specified period exceeds either a predetermined sum or a percentage of the premium income for the class of business concerned; also known as stop loss or excess of loss ratio reinsurance.

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A form of excess of loss reinsurance in which the excess and the limit of liability are expressed as annual aggregate amounts.

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Refer: “Reinsurance, Aggregate Excess of Loss”

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A form of Excess of Loss Reinsurance that indemnifies the ceding company against the amount by which its losses incurred during a specific period, usually 12 months, exceed either (01) a predetermined amount, or (02) a percentage of the company’s premium (loss ratio) for that period. This is commonly referred to as Stop Loss Reinsurance or Excess of Loss Ratio Reinsurance.

Reinsurance contract provision meaning that when the reinsured’s losses exceed the annual aggregate deductible the reinsurer pays the whole of the loss without deduction.

The maximum amount that the insurer will pay in respect of all insured losses that occur during the policy term. No further claim is payable once the limit has been exhausted unless it has been reinstated by policy condition or agreement. Aggregate limits are common to professional indemnity insurance and product liability insurance. Under some covers the insurer may also impose a limit per claim or occurrence.

A prospective benefits funding method used to calculate contributions required to secure pension benefits. No standard contribution rate is determined. Instead a modified contribution rate is calculated as that which, if paid over the expected future membership of the active members, would be sufficient, taking account of the actuarial value of assets, to provide for the benefits. The modified contribution rate is also called the recommended contribution rate.

System used by insurer or managing agent to record, monitor and control their total aggregate exposures by country of risk, class of business, years of exposure or other appropriate variable. For example, in the exempted classes of financial guarantee insurance Lloyd’s calls upon managing agents to run systems that enable syndicates to avoid excessive exposure to any one obligor, industrial sector, location or insured nationality, in any one obligor country. The totals are regularly monitored to ensure that any limits are not exceeded.

A table based on the rate of mortality according to age. No allowance is made for the duration of the insurance. Aggregate tables are used for the valuation of life contracts.

The aggregate amount of risk retained by the insured, i.e. losses up to the level that are selfinsured rather than assumed by an insurer

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An additional retention kept net by the cedant of losses otherwise recoverable from the reinsurer. There are two retentions in a program having an aggregate retention. The first retention applies to each risk or occurrence. The second, or aggregate retention, applies to amounts that would normally be recoverable from the reinsurer. Only after the aggregate retention is exceeded can the cedant recover from the reinsurer.

Where the defendant pleads contributory negligence, the claimant’s contribution to the accident may be excused if he acted ‘in the agony of the moment’. In Jones v. Boyce (1816) the claimant, fearing that a fast-driven coach would overturn, broke his leg when jumping for safety. The coach did not overturn but his action was justified. The principle of ‘alternative danger’ applies to emergencies generally and may apply even when property is under threat.