How to record facultative reinsurance placement
Booking brokerage revenue for the placement of a specific facultative reinsurance risk.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Reinsurance Brokerage Receivable | Asset | 1,250.00 | - |
| Facultative Brokerage Revenue | Revenue | - | 1,250.00 |
💡 Accountant's Note
Facultative brokerage is earned by placing a single risk with a reinsurer, separate from treaty reinsurance commissions.
Practitioner & Systems Framework
💻 ERP Architecture
Tag revenue as 'Facultative' to distinguish from Treaty or Retail lines.
⚠️ Audit Flags
Mismatch between gross facultative premium and brokerage percentages.
📄 Required Documentation
Facultative placement slip signed by the reinsurer.
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Discussion & Community Questions
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