Example 2 - Quota Share
Hi! I just have a quick question. The source mentions that under the "substantially all" definition, an example could be a contract with no risk limiting features. Are ceding commissions considered to be risk limiting? I guess I was under the impression that they were, and that this example would not meet the substantially all criteria. I'd appreciate any insights anyone can offer! Thank you
Comments
Graham has a good answer for this in the following (the October 2021 answer):
[https://battleacts6us.ca/vanillaforum6us/discussion/33/common-pitfalls-gross-premium#latest]
Let me know if this is not satisfactory.
Ah yes, I think I confused a sliding commission with a ceding commission and could not wrap my head around this. Thank you!