Question

How does GIC Re handle the obligatory cessions received from non-life insurers in India?

a.

Retain 100% of the cessions for its own portfolio

b.

Retrocede 100% of the cessions to the ceding insurers

c.

Retrocede up to 10% of the cessions to the ceding insurers

d.

Retrocede at least 50% of the cessions to the ceding insurers

Answer: (d).Retrocede at least 50% of the cessions to the ceding insurers Explanation:GIC Re receives up to 10% obligatory cessions from non-life insurers in India and retrocedes at least 50% of the obligatory cessions received to the ceding insurers.

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Q. How does GIC Re handle the obligatory cessions received from non-life insurers in India?

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