Q. Why might an insurer or reinsurer initially prefer to write only short-tail business?

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Q. What are the potential hazards associated with granting underwriting or binding authority to another insurer or agency?

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Q. Why might some reinsurers have reservations about participating in pools and brokers' covers?

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Q. What are the two options for writing inward reinsurance in terms of intermediaries?

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Q. What is a potential advantage of writing business on a direct basis?

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Q. How do insurers or reinsurers typically approach writing inward business when starting out?

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Q. What should the acceptance limit of a reinsurer be based on?

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Q. Why is it important for the acceptance limit to be sufficiently large?

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Q. What should be emphasized when laying down guidelines for accepting business?

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Q. What should be considered when determining the competent authority to make acceptances on behalf of the insurer?

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Q. What is one of the considerations for justifying the cost involved in having the business in the books of the insurer?

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Q. Which of the following tools help in determining quality in the case of inward reinsurance business?

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Q. Which of the following is a purpose of retrocession in the reinsurance industry?

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Q. In a soft market with over capacity, what is the behavior of lead underwriters regarding retrocession?

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Q. Which markets provide alternative cost-effective capacity besides retrocessional markets?

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Q. What is the impact of the absence of retrocessional support in a hard market?

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Q. Why do ceding insurers protect the experience of their outward treaties in reciprocal trading?

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Q. What are the two benefits derived from a reciprocal exchange of treaties?

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Q. In which lines of business is reciprocal reinsurance trading most prevalent?

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Q. In reciprocal reinsurance trading, what can be adjusted to keep the treaty exchanges balanced?

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