Quota Share Reinsurance

(redirected from Quota Share Treaty)

Quota Share Reinsurance

An agreement between an insurer and a reinsurer whereby the reinsurer pays an agreed-upon percentage of all losses the insurer sustains, regardless of type. The insurer compensates the reinsurer for this agreement.
References in periodicals archive ?
2 percent from the third quarter last year due to nonrenewal of a crop quota share treaty, reductions in volume on exposures in North America, and a decrease in property treaties in Latin America.
Through a highly personalized and aggressive brokering effort, he executed a quota share treaty with broad-based reinsurer support.
The principal reason for the decline was the execution of a 40% quota share treaty between the Company's primary insurance subsidiary, Majestic Insurance Company ("Majestic"), and a third party reinsurer, effective July 1, 2008.
We also continued our Commercial Lines quota share treaty, but elected to reduce the ceded portion of written premiums from 60% to 40%.
Twin Bridges"), with a third-party, 40% quota share treaty, effective July 1, 2008.
Second, the execution of quota share treaties between Majestic and third party reinsurers resulted in Majestic ceding 47% of earned premiums effective July 1, 2009, as compared to Majestic ceding 40% under a quota share treaty that was in place in the third quarter of 2008.
3 million due to the elimination of the New Jersey Homeowners' Quota Share Treaty.
Best's concern that surplus remains vulnerable to natural and man made catastrophe losses, despite being somewhat mitigated by a new 25% quota share treaty in Triangle's retention layer.
In addition, Olympus and its two largest shareholders would agree, at Folksamerica's option, to continue the quota share treaty with Folksamerica through the end of 2007.
Best expects this capital to be progressively released in the coming years, as the intention of the group is to reduce the 40% quota share treaty over time.
The termination and commutation of the Company's 2004 quota share treaty and the reduction in the ceding percentage added $260.
The recent increase of ZFS' quota share treaty with Farmers Exchange (FE) could have a negative effect on the overall underwriting performance for the full year due to a higher combined ratio compared to the group.