When the insurer or the intermediary may prepare a monthly recapitulation of premium and commission transactions between the parties, commonly called:

Question

Options

• Aaccount current
• Baccount reimbursement
• Cbalance share
• Dpremium debts

• A
  73% (49)
• B
  7% (5)
• C
  4% (3)
• D
  15% (10)

Explanation

Account current (A) is the standard insurance industry term for a periodic - often monthly - summary document that reconciles premium and commission transactions between an insurer and an intermediary (such as a broker or agent). It functions like a mutual statement of account, showing what each party owes the other.

B (account reimbursement) is not a recognized industry term - "reimbursement" implies repayment for an expense already incurred, which doesn't describe this bilateral reconciliation document. C (balance share) is fabricated; it conflates balance-sheet and profit-sharing concepts but matches no standard insurance accounting term. D (premium debts) describes only amounts owed on premiums, not the full two-sided summary of both premiums and commissions.

Memory tip: Think of "account current" the same way you'd think of a bank account statement - it's a current snapshot of the running account between two parties, keeping the financial relationship up to date on a regular cycle.

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