Insurance Terms

Question 1

Reinsurance undertaking

Answer 1

An insurance undertaking whose main purpose is reinsurance activities

Question 2

Reinsurance distribution

Answer 2

The distribution of insurance related to an insurance contract

Question 3

Insurance activities are:

Answer 3

Life insurance, non-life insurance, and reinsurance

Question 4

Insurance distribution

Answer 4

Advising on, proposing, preparing, and entering into insurance contracts and assisting in the administration and performance of such contracts.

Question 5

Reinsurance contract

Answer 5

An insurer has a contractual agreement which transfers a portion of its risk exposure to another insurer.

Question 6

Underwriting

Answer 6

The process of selecting, classifying, and pricing appilcanys for insurance.

Question 7

Insurance

Answer 7

The transfer of a risk to an insurance company, which in turn spreads the cost of unexpected losses to many individuals.

Question 8

Insurance activities

Answer 8

The acceptance of the risk of a policyholder or insured person on the basis of an insurance contract and, upon the occurrence of the insured event, the compensation for damage, payment of agreed sums of money or performance of the contract as otherwise agreed.

Question 9

Insurance undertaking

Answer 9

A company who’s main purpose is insurance activities.

Question 10

Insurance distributor

Answer 10

The insurance undertaking, broker, or agent.

Question 11

Reinsurance activities

Answer 11

Risks transferred to an insurance company are accepted on the basis of a reinsurance contract with the objective to pay the insurance undertaking indemnities in an agreed amount in connection with the insured event specified in an insurance contract.