Question

What stipulation is typically included in the treaty contract regarding the periodicity of accounts in proportional treaty accounts?

Accounts should be rendered annually

Accounts should be confirmed by the reinsurer within a month

Accounts should be settled by the debtor party within three months

Accounts should be rendered within three months of the close of the quarter

Posted under IC85 Reinsurance Management

Answer: (d).Accounts should be rendered within three months of the close of the quarter Explanation:In proportional treaty accounts, the treaty contract usually stipulates the periodicity at which accounts should be rendered by the ceding insurer. A common stipulation is that the accounts should be rendered within three months of the close of the quarter. This ensures that the reinsurer receives timely and up-to-date financial information for monitoring and decision-making purposes.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. What stipulation is typically included in the treaty contract regarding the periodicity of accounts in proportional treaty accounts?

Add Comment

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!

IC85 Reinsurance Management

Gear up for success in the Insurance Institute of India (III) examination with IC85...

IC22 Life Insurance Underwriting

Prepare for success in the Insurance Institute of India (III) examination with IC22...

Financial Management and Financial Markets

Master the world of finance with our Financial Management and Financial Markets...

IC38 Life Insurance Agent Exam

Prepare for success in the Insurance Institute of India (III) IC38 IRDA examination...

Life Sciences

Delve into the diverse world of life sciences with our specialized category. Explore...

IC 92 Actuarial Aspects of Product Development

Sharpen your understanding of actuarial principles in product development with our...

Verbal Ability

Hone your language and communication skills with our Verbal Ability category. Enhance...

Mechanics of Materials

Unlock the principles of Mechanics of Materials with our specialized category. Dive...

Human and Cultural Diversity

Explore the rich tapestry of human societies with our Human and Cultural Diversity...