Question

Which of the following statements about a Ceding Company in insurance is true?

A A Ceding company assumes the risk from another insurance company.
B A Ceding company receives a commission from the Reinsurer for assuming the risk.
C A Ceding company receives a premium from the Reinsurer to transfer the risk.
D A Ceding company do not share the premium it receives from the policyholders.
E A Ceding company retains all the risk and does not involve any other pary.
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