Question

Under what circumstances can either party terminate the agreement immediately?

a.

If the reinsurer fails to pay premiums

b.

If the reinsured becomes insolvent

c.

If there is a change in ownership of the reinsurer

d.

All of the above

Answer: (d).All of the above Explanation:Either party can terminate the agreement immediately under various circumstances, including if the performance of the agreement is prohibited or rendered impossible by law, if the other party becomes insolvent, if there is a material change in ownership or control of the other party, or if the other party's country or territory is involved in armed hostilities.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. Under what circumstances can either party terminate the agreement immediately?

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. Where should notices of termination be addressed?

Q. Under what circumstances can the insurer make the termination effective retroactively?

Q. What is the purpose of the "notice of cancellation at anniversary date" provision?

Q. When does the provision of "notice of cancellation at anniversary date" typically apply?

Q. What does the reinsurer continue to do during the term of notice of cancellation?

Q. What is the purpose of sending a "Provisional Notice of Cancellation" (PNC) by reinsurers?

Q. What action should a reinsurer take if they decide to continue the contract after sending a provisional notice of cancellation?

Q. Under what circumstances can a reinsurance agreement be automatically terminated?

Q. What is the purpose of a "Sudden Death Clause" in a reinsurance contract?

Q. Under what circumstances can the reinsurance agreement be altered?

Q. What is the purpose of the "Insolvency of other reinsurers" clause in a reinsurance agreement?

Q. What is the purpose of the "Access to records: Inspection by reinsurer" clause in a reinsurance agreement?

Q. When can the reinsurer's right to inspect records be restricted to an appointed representative?

Q. What is the purpose of the "Errors & omissions" clause in a reinsurance agreement?

Q. What is the role of the broker in reinsurance transactions?

Q. What is the effect of the intermediary clause in a reinsurance agreement?

Q. When is the intermediary clause not used in a reinsurance agreement?

Q. What is the purpose of including an arbitration clause in a reinsurance agreement?

Q. How are arbitrators and umpires appointed in the arbitration process?

Q. What is the role of the arbitrators and umpire in interpreting the reinsurance agreement?

Recommended Subjects

Are you eager to expand your knowledge beyond IC85 Reinsurance Management? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!