Question

What does excess of loss - Catastrophe cover protect the reinsured against?

a.

A single loss arising out of one event

b.

An aggregation of losses arising from multiple events

c.

Losses arising from any event, regardless of its cause

d.

Losses arising from risks covered under the underlying policy

Answer: (b).An aggregation of losses arising from multiple events Explanation:Excess of loss - Catastrophe cover protects the reinsured against an aggregation of losses arising from a common event such as earthquake, flood, cyclone, riots, etc.

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Q. What does excess of loss - Catastrophe cover protect the reinsured against?

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