Which of the Following Statements Are True with Regard to Reinsurance

question 18

Multiple Choice

Which of the following statements are true with regard to reinsurance?

• A) the reinsurance operation is subject to riba and gharar
• B) insurable interest is vested in the reinsured party
• C) reinsurance is a mechanism of the mitigation of great risks by transferring the risks to a large insurer known as reinsurer
• D) all of the above

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