Question

What are the different groups that engage in writing inward reinsurance business?Why do direct writing insurance companies want to write inward reinsurance business?

a.

Direct companies accepting businessTo increase net retained premium

b.

Professional reinsurance companiesTo meet statutory regulations

c.

Underwriting agents writing business on behalf of other companiesTo reduce expense ratio

d.

All of the aboveAll of the above

Posted under IC85 Reinsurance Management

Answer: (d).All of the aboveAll of the above Explanation:Inward reinsurance is written by direct companies, professional reinsurers, underwriting agents, and Lloyd's underwriters. These different groups engage in writing inward reinsurance business.Several reasons why direct writing insurance companies may want to write inward reinsurance business. These reasons include increasing net retained premium, meeting statutory regulations, reducing expense ratio, and supplementing their growth during economic depressions.

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Q. What are the different groups that engage in writing inward reinsurance business?Why do direct writing insurance companies want to write inward reinsurance business?
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