Accounting Standards Codification Flashcards
1
Q
two criteria for a short-duration contract
A
- provides protection for a fixed period of short duration
* allows the insurer to cancel or change the provisions at the end of any contract period
2
Q
example of a reinsurance contract with both retroactive and prospective provisions
A
contract not finalized until after the primary policy has been written, but before the end of the coverage period