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What is the 9-month rule for reinsurance contracts?

Asked by Anonymous Sep 02, 2026 0 views 1 answers
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Answered Sep 02, 2026

In professional reinsurance accounting and regulatory compliance, the "9-month rule" refers to standard guidelines regarding retroactive reinsurance agreements. Specifically, it dictates that for a reinsurance contract to receive risk-transfer accounting treatment rather than deposit accounting, it must generally be executed and finalized within nine months of the loss occurrence date, ensuring that contracts are not formed retroactively purely for artificial balance-sheet manipulation.

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