Briefly define reinsurance? What is the purpose of a Ceding company in reinsurance? Why do you think an insurance company will need reinsurance for and what are the two principal forms of reinsurance? Under the surplus-share treaty, how much will the insurance company will have to cover for the clients claim if the client has a $70,000 claim and the insurance company reinsures every client with a claim amount of at least $50,000 with a maximum claim of $200,000