What is vertical cover?

Discussion in 'SP7' started by xdorax, Aug 16, 2012.

  1. xdorax

    xdorax Member

    What is vertical cover? (Reinsurance)
    Non proportional?
     
  2. mattt78

    mattt78 Member

    It relates to non-proportional ri, yes. Reinstatements are sometimes referred to as sideways cover (as you can think of them as multiple limits of cover lined up next to eachother), so vertical cover just refers to the limit. :)

    (Maybe you could say proportional ri gives unlimited sideways cover, but it’s a term usually referred to only in the context of non-proportional ri).
     
    Last edited by a moderator: Aug 16, 2012
    Hemant Rupani likes this.
  3. xdorax

    xdorax Member

    Thank you
     

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