Question
a.
The reinsurer retains the entire loss amount
b.
The direct insurer reimburses the reinsurer for the difference
c.
The reinsurer reimburses an appropriate share of the original premium to the direct insurer
d.
The direct insurer and the reinsurer renegotiate their shares in the loss
Posted under IC85 Reinsurance Management
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Q. What happens if the application of the PML excess clause leads to different shares in a loss for the direct insurer and the reinsurer?
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