A generic term describing all forms of QUOTA SHARE and SURPLUS REINSURANCE in which the REINSURER shares a pro rata portion of the losses and premiums of the CEDING COMPANY. Also PARTICIPATING REINSURANCE, PRO RATA REINSURANCE.
See Quota Share Reinsurance.
Reinsurance treaties on the basis of which shares in a risk or portfolio are reinsured under the prevailing original conditions. Premiums and losses are shared proportionately on a pro-rata basis. This is in contrast to non-proportional reinsurance.
A type of reinsurance where the ceding insurer cedes to its reinsurer a predetermined proportion of the liability and premium of those policies subject to the reinsurance agreement.
A form of reinsurance in which the amount ceded is defined at the point the risk is transferred, not at the point of claim. The amount of risk may vary with time by formula.
A type of reinsurance coverage for which the ceding company and the assuming company agree to share premiums and claims according to a specified amount or a specified percentage at the time the reinsurance agreement is made. See also reinsurance, ceding company, and reinsurer.
Reinsurance of a part of an original insurance, premiums and losses being shared proportionately between reinsurer and insurer.
reinsurance where reinsurers take a given proportion of the direct insurers premiums and losses.
