setoff
In reinsurance, a setoff or offset is an equitable right that allows parties to cancel or offset mutual debts to each other by asserting the amounts owed, subtracting one from the other, and paying only the balance.
setoff
In reinsurance, a setoff or offset is an equitable right that allows parties to cancel or offset mutual debts to each other by asserting the amounts owed, subtracting one from the other, and paying only the balance.
Additional Information
The right of setoff is readily available in insurance and reinsurance relationships, and, like all rights, it should be carefully planned for and built into the contractual relationship's terms.
