Question

What is the concept of a multi-line/multi-year package in reinsurance?

a.

Bundling traditional risks with uninsurable risks

b.

Aggregating liability limits and deductibles across all coverages

c.

Setting individual limits and deductibles for each year

d.

Designing packages as part of Enterprise-wide Risk Management

Posted under IC85 Reinsurance Management

Answer: (b).Aggregating liability limits and deductibles across all coverages Explanation:A multi-line/multi-year package in reinsurance involves bundling several lines of traditional risks and combining them with special or uninsurable risks. In this approach, the liability limits and deductibles are aggregated across all coverages and risk exposures, rather than being set individually. Such packages are designed to spread risk over time and may also be part of an Enterprise-wide Risk Management strategy.

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Q. What is the concept of a multi-line/multi-year package in reinsurance?
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