Question

What is the purpose of splitting the surplus treaty into two or three surpluses?

a.

To obtain the best possible commission terms

b.

To generate a sufficient volume of premium

c.

To balance the portfolio

d.

All of the above

Answer: (d).All of the above Explanation:Splitting the surplus treaty into two or three surpluses serves the purpose of obtaining the best possible commission terms, generating a sufficient volume of premium, and balancing the portfolio.

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Q. What is the purpose of splitting the surplus treaty into two or three surpluses?

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