Question

What is direct written premium in insurance or reinsurance?

a.

The premium received by the reinsurer for assumed risks

b.

The premium income of an insurer before any reinsurance transactions

c.

The premium income of an insurer adjusted for additional or return premiums

d.

The premium proportionate to the period of expired insurance or reinsurance

Posted under IC85 Reinsurance Management

Answer: (b).The premium income of an insurer before any reinsurance transactions Explanation:Direct written premium refers to all the premium income of an insurer before any reinsurance is ceded or assumed. It represents the total premium income generated by the insurer.

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Q. What is direct written premium in insurance or reinsurance?
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