MLchartDataset catalogue

Funds withheld

Term · Insurance and risk management · MLC-T-INS-001617

A reinsurance accounting practice where the ceding insurer retains a portion of the premiums due to the reinsurer, holding these funds as security against future claims or other obligations. This arrangement reduces the need for the reinsurer to post collateral or provide letters of credit. The ceding insurer typically invests the withheld funds and pays interest to the reinsurer.

Table 1. Record
IdentifierMLC-T-INS-001617
FieldInsurance and risk management
Record as JSON 
{
  "id": "MLC-T-INS-001617",
  "term": "Funds withheld",
  "field": "Insurance and risk management",
  "definition": "A reinsurance accounting practice where the ceding insurer retains a portion of the premiums due to the reinsurer, holding these funds as security against future claims or other obligations. This arrangement reduces the need for the reinsurer to post collateral or provide letters of credit. The ceding insurer typically invests the withheld funds and pays interest to the reinsurer.",
  "url": "https://mlchart.com/terminology/insurance/funds-withheld/"
}

Record 1,499 of 3,682 in Insurance and risk management terminology (MLC-0106). Request the full dataset.