Percentage rate (usually of the premium income) of the reinsured portfolio which is to be paid to the reinsurer as reinsurance premium under a non-proportional reinsurance treaty.


Passing on of a primary insurer's or reinsurer's risks to a reinsurer.


Company which accepts risks or portfolio segments from a direct insurer or another reinsurer in exchange for an agreed premium.

Reserve ratio

Ratio of (gross or net) technical provisions to the (gross or net) premiums.


Reinsurance in accordance with Islamic law (Sharia-compliant). The business model is similar in form to that of mutual insurance and addresses, among other things, the prohibition of interest in Islam.


The part of the accepted risks which an insurer/reinsurer does not reinsure, i.e. shows as net (retention ratio: percentage share of the retention relative to the gross written premium).

Retrocession (also: Retro)

Ceding of risks or shares in risks which have been reinsured. Retrocessions are ceded to other risk carriers (retrocessionaires) in exchange for a pro-rata or separately calculated premium (cf. Gross/Retro/Net.

Risk capital

The capital at risk notionally allocated to a risk category.

Risk, insured

Risk that can lead to the occurrence of a loss. The insured risk is the subject of the insurance contract.