Question

When a reinsurance agreement is received, it must be:

a.

Properly stamped and scrutinized by a responsible official.

b.

Signed in duplicate and returned to the ceding insurer.

c.

Forwarded to the Stamp Office for stamping.

d.

Attached to the slip as proof of acceptance.

Answer: (a).Properly stamped and scrutinized by a responsible official. Explanation:Upon receiving a reinsurance agreement, it must undergo proper stamping and scrutiny by a responsible official to ensure compliance with applicable regulations and to identify any unacceptable conditions or absence of standard clauses.

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Q. When a reinsurance agreement is received, it must be:

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