Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Glassboro Insurance Company enters into a surplus share treaty with Waterford Re. Glassboro retains a line of 15,000 - the treaty contains 10 lines and
Glassboro Insurance Company enters into a surplus share treaty with Waterford Re. Glassboro retains a line of 15,000 - the treaty contains 10 lines and provides for a maximum cession of $150,000. How would the following policies and losses be shared?
Glassboro Insurance Company Retains Waterford Re - The Reinsurance Co Total 0 Policy A Amount of Insurance Percentage of insurance allocated Premiums 0.00% 25,000 100% 400 8,000 0 Losses 0 0 Policy B Amount of Insurance Percentage of insurance allocated Premiums Losses 100,000 100% 1000 10,000 0.00% 0 0 0 Policy C Amount of Insurance Percentage of insurance allocated Premiums Losses 0.00% 150,000 100% 1500 60,000 0 0 0 Policy D Amount of Insurance Percentage of insurance allocated Premiums 300,000 100% 0.00% 0 8000 100,000 Losses 0Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started