Question

What is a reinsurance treaty?

a.

A legally binding agreement between the reinsurer and the policyholder

b.

A document that contains the obligations and responsibilities of the direct insurance company and the reinsurer

c.

An agreement that specifies the insurance policy terms and conditions

d.

A document that outlines the coverage and premiums of a particular insurance policy

Posted under IC22 Life Insurance Underwriting

Answer: (b).A document that contains the obligations and responsibilities of the direct insurance company and the reinsurer Explanation:A reinsurance treaty is a legally drafted and signed agreement between the direct insurance company and the reinsurer that contains the obligations and responsibilities of both parties.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What is a reinsurance treaty?
Add Comment

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. What do reinsurance treaties mainly cover?

View solution

Q. What is the purpose of reinsurance treaties?

View solution

Q. What is the E&O clause in a reinsurance treaty?

View solution

Q. Why is it important for underwriters to be aware and thorough with reinsurance treaties?

View solution

Q. Which of the following is true about a reinsurance treaty?

View solution

Q. What does a reinsurance treaty mainly cover?

View solution

Q. What is the purpose of including dispute resolution methodology in a reinsurance treaty?

View solution

Q. Which of the following is included in a reinsurance treaty related to underwriting?

View solution

Q. What is the purpose of the underwriting audit by reinsurers?

View solution

Q. What are the topics covered in the underwriting audit by reinsurers?

View solution

Q. Why is the interface with the client through different modes of communication important in the underwriting audit?

View solution

Q. Which department of the insurance company is audited by reinsurers?

View solution

Q. What is the importance of calling for additional requirements in the risk assessment process?

View solution

Q. The reinsurance treaty between the direct insurer and the reinsurer contains provisions and conditions related to which of the following?

View solution

Q. What is reinsurance?

View solution

Q. What is the purpose of reinsurance?

View solution

Q. What factors affect the retention limit?

View solution

Q. What is retrocession?

View solution

Q. Who is responsible for paying the claim if the reinsurer fails to pay?

View solution

Q. What is catastrophe reinsurance?

View solution
View All MCQs on IC22 Life Insurance Underwriting

Recommended Subjects

Are you eager to expand your knowledge beyond IC22 Life Insurance Underwriting? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!

IC38 Life Insurance Agent Exam

Prepare for success in the Insurance Institute of India (III) IC38 IRDA examination...

Basic Electrical Engineering

Master the fundamentals of Electrical Engineering with our specialized category....

Business Statistics

Uncover the power of data analysis with our Business Statistics category. Explore...

Biochemistry

Delve into the intricate world of Biochemistry with our Biochemistry category....

Molecular Biology

Dive into the intricate world of molecular biology with our specialized category....

Basic Chemical Engineering

Get a solid foundation in Chemical Engineering with our Basic Chemical Engineering...

Dairy Engineering

Dive into the world of Dairy Engineering with our specialized category. Explore the...

IC 14 Regulations of Insurance Business

Prepare for the IC 14 Regulations of Insurance Business exam with our focused set of...

Engineering Materials

Discover the building blocks of engineering with our Engineering Materials category....