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SOFE SOFA-CFE Exam - Topic 8 Question 129 Discussion

When gross premiums written are reduced by ceded reinsurance premiums in financial statements, the result is termed as:
A) net premiums written
B) ceded premiums
C) net analyzed premiums
D) earn premiums written

SOFE SOFA-CFE Exam - Topic 8 Question 129 Discussion

Actual exam question for SOFE's SOFA-CFE exam
Question #: 129
Topic #: 8
[All SOFA-CFE Questions]

When gross premiums written are reduced by ceded reinsurance premiums in financial statements, the result is termed as:

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Suggested Answer: A

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Sueann
7 hours ago
I feel like I’ve seen this concept before, and it was definitely related to net premiums. So I’m leaning towards A) net premiums written as well.
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Meghan
5 days ago
I’m a bit confused about this one. I thought ceded premiums were just the amounts paid for reinsurance, not the final figure.
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Cortney
11 days ago
I remember practicing a similar question where we discussed how reinsurance affects premium calculations. I think it’s definitely A) net premiums written.
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Viki
16 days ago
I think the answer might be A) net premiums written, but I'm not entirely sure. We covered this in class, but I might be mixing it up with something else.
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