Question

What are the considerations for a single Mega Risk Facultative Reinsurance Placement?

a.

Policy Limits and Retention

b.

Risk Inspection

c.

Underwriting Criteria

d.

All of the above

Posted under IC85 Reinsurance Management

Answer: (b).Risk Inspection Explanation:A typical checklist of considerations for a single Mega Risk Facultative Reinsurance Placement includes Risk Inspection, PML Assessment, Composite Brokers Intervention, Valuation, Tender Process, Co-insurance, Reinsurers with superior credit rating, Determination of Deductible Time Excess/Other Terms, Rate Net of Commission, Route Survey for Movement of Critical Machineries, Project Monitoring for Delays, and Claims Control Clause-establishing communication system & procedures for preliminary loss intimation/survey/technical support.

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Q. What are the considerations for a single Mega Risk Facultative Reinsurance Placement?
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