Question

What is the role of a reinsurer in life insurance?

a.

Providing expertise in understanding mortality and morbidity in determination of rates and reinsurance.

b.

Respecting the life insurer's need not to have too great a reliance on reinsurance.

c.

Assessing the true value of assets recoverable from a reinsurer.

d.

All of the above.

Posted under IC85 Reinsurance Management

Answer: (d).All of the above. Explanation:Reinsurers share their knowledge of market experience with the reassured, provide expertise in understanding mortality and morbidity in determination of rates and reinsurance, and respect the life insurer's need not to have too great a reliance on reinsurance. Assessing the true value of assets recoverable from a reinsurer is a key element of life insurance.

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Q. What is the role of a reinsurer in life insurance?
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