5 ms·
That's exactly what it is. You benefit on the upside but if there are outliers and the premium would skyrocket we cap your premium at market rate through an ag
by zerni 9y ago
That's exactly what it is.
You benefit on the upside but if there are outliers and the premium would skyrocket we cap your premium at market rate through an agreement with a reinsurer. It's a standard financial tool insurers are using as well.