Sept 2005: Q2 iv

Shouldn't the final risk premium be 50k x 3, since we are covering 3 reinstatements?

 

Hi Jensen,

The original policy had four reinstatements. The scenario in part (iv) is that only one of these is covered by the reinstatement premium protection cover, with the remaining three not covered (ie to be paid by the cedant).

So just one lot of £50,000.

Coralie