following the fortunes


A reinsurance doctrine that states the reinsurer must follow the underwriting fortunes of the reinsured. The reinsurer is bound by the claims handling decisions of the original insurer. This doctrine applies as long as there is not any fraud, collusion, or bad faith involved. This burden shifting allows the reinsured the freedom to make good faith claims decisions without having to worry about renegotiating with the reinsurer.
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following form follow-on