Can someone explain the cashflows that would go on in level risk premium reinsurance? Either for Individual surplus or quota share. The reinsurer provides the cedant with a set of premium rates and the cedant loads their own costs into these rates. Presumably the cedant receives the full premium from the pholder and then pays a certain amount of each premium to the reinsure based on the reinsurers original rates and the proportion that is being reinsured. Is that correct? Thanks James
