What does Retention mean? Read on to discover the definition & meaning of the term Retention - to help you better understand the language used in insurance policies.
(1) Assumption of risk of loss by means of noninsurance, self-insurance, or deductibles. Retention can be intentional or, when exposures are not identified, unintentional. (2) In reinsurance, the net amount of risk the ceding company keeps for its own account.
We hope the you have a better understanding of the meaning of Retention.