Which of the Following Statements About Reinsurance Is True

question 18

Multiple Choice

Which of the following statements about reinsurance is true?

• A)A reinsurer may not purchase reinsurance.
• B)The reinsurer is the first insurer that provides claims services to the insured after a loss occurs.
• C)The amount of insurance transferred to a reinsurer is called the net retention.
• D)The insurer transferring business to a reinsurer is called the ceding company.

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Definitions:

St. John's Wort

A herbal plant traditionally used for the treatment of depression and anxiety, known for its yellow flowers.

Reuptake

The process by which neurotransmitters are absorbed back into the nerve terminal after they have been released into the synaptic cleft.

Dopamine

A neurotransmitter associated with the brain's reward and pleasure systems, as well as motor function and motivation.

Antidepressant Drugs

Medications used to treat various forms of depression and sometimes other conditions by balancing neurotransmitters in the brain to improve mood and affect.