Glossary

Retrocedent refers to the ceding reinsurer in a retrocession.

A retrocession is a transaction in which a reinsurer transfers risks it has reinsured to another reinsurer.

A retrocessionaire is a reinsurer of a reinsurer.

Retrocessional pools refer to treaty reinsurance where the cedent or retrocedents are also retrocessionaires of the same treaty, with the objective of achieving improved risk distribution.

Transfer of a portfolio of retroactive insurance risk or self-insured balances—insuring the incurred but not reported (IBNR) and incurred but not enough (IBNE)—all risks ceded for an agreed price.

Retrospective rating is a rating plan that adjusts the premium, subject to a certain minimum and maximum, to reflect the current loss experience of the insured.

A return-to-work program is a post-injury program that returns injured employees to some type of work as soon as medically possible.

Return of premium refers to a form of life insurance that provides for the return of premium as well as payment of the face amount upon death of the insured.

The return of professional fees exclusion is an exclusion found in a number of professional liability policy forms precluding coverage for situations where, as part of the damages awarded to a claimant, an insured is required to return the fees charged for a negligently performed professional service.

The return of remuneration exclusion is an exclusion found within directors and officers (D&O) liability policies precluding coverage for claims arising from allegations that monies were paid to directors or officers without stockholders' approval.