Assumption

Term · Insurance and risk management · MLC-T-INS-000476

The act of accepting risk and the financial obligation for potential losses, or the specific risk that has been accepted. In reinsurance, it is the transfer of liability from a ceding company to a reinsurer. The term also describes the process where one insurer takes over the policies of another, becoming fully responsible for all policyholder obligations as if it had issued the policies itself.

Table 1. Record
Identifier	MLC-T-INS-000476
Field	Insurance and risk management

Record as JSON

{
  "id": "MLC-T-INS-000476",
  "term": "Assumption",
  "field": "Insurance and risk management",
  "definition": "The act of accepting risk and the financial obligation for potential losses, or the specific risk that has been accepted. In reinsurance, it is the transfer of liability from a ceding company to a reinsurer. The term also describes the process where one insurer takes over the policies of another, becoming fully responsible for all policyholder obligations as if it had issued the policies itself.",
  "url": "https://mlchart.com/terminology/insurance/assumption/"
}

Record 227 of 3,708 in Insurance and risk management terminology (MLC-0106). Request the full dataset.