Can a ceding company transfer all of its risks?

While a ceding company can transfer significant portions of risk, complete risk transfer (100%) is rare due to regulatory requirements and financial considerations. Insurers typically retain some risk to ensure proper risk management and business sustainability.

Which insurance company is best for high-risk drivers?

Progressive, The General, and GEICO specialize in high-risk auto insurance, offering policies to drivers with accidents, DUIs, or poor credit histories.

Can my premium change after I purchase the policy?

Yes, while your premium may be locked for the initial term, it can change upon renewal based on factors like claims history, changes in the insurer’s pricing structure, or adjustments to your personal circumstances.

Will liability insurance cover accidents caused by home renovations?

It depends. If a visitor is injured due to unsafe conditions, liability insurance may help. However, major renovations may require additional coverage, and contractors should have their own liability insurance.

What is non-proportional reinsurance?

Non-proportional reinsurance covers losses only when they exceed a specified threshold, with the reinsurer stepping in after the insurer’s retention limit is reached.

Can homeowners get E&S insurance?

Yes, homeowners with high-risk properties—such as those in wildfire zones, coastal areas, or those with prior claims—can obtain E&S insurance. It provides coverage when standard insurers refuse to underwrite high-risk homes.

Is UBI better for young or inexperienced drivers?

Yes, young drivers may benefit because insurers assess actual driving behavior rather than relying on general risk factors like age, which often result in high traditional premiums.

What is the difference between manual and automated underwriting?

Manual underwriting involves human evaluation, while automated underwriting uses algorithms and data analytics to assess risks quickly and efficiently.