Question

What is the responsibility of reinsurers in regard to rate of exchange risk?

a.

Reinsurers assume responsibility for rate of exchange risk

b.

Reinsurers do not assume responsibility for rate of exchange risk

c.

Reinsurers share responsibility for rate of exchange risk with the insurer

d.

Reinsurers only assume responsibility for rate of exchange risk under certain circumstances

Answer: (b).Reinsurers do not assume responsibility for rate of exchange risk Explanation:Reinsurers assume no responsibility for rate of exchange risk.

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Q. What is the responsibility of reinsurers in regard to rate of exchange risk?

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