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Reinsurance Premium:

The premium paid by the ceding company to the reinsurer in consideration for the liability assumed by the reinsurer. On a proportional treaty the premium is a pro-rata share of the ceding company’s gross premium less a ceding (or exchange) commission. On excess of loss treaties the premium is a percentage of the ceding company’s gross premium income for the class of business being reinsured. These premiums are usually calculated annually and ...
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