What is the term for an agreement to share a risk among underwriters?

The correct term for an agreement to share a risk among underwriters is "Reciprocals." In the context of insurance, reciprocals refer to organizations where members agree to insure each other's risks. They operate on the principle of mutuality, where the members collectively share losses and provide coverage for one another. Each member essentially becomes both an insurer and an insured, promoting a cooperative approach to risk management.

While other terms like co-insurance, risk pooling, and reinsurance relate to sharing risks, they are distinct in their operations and definitions. Co-insurance involves a situation where the insured and the insurer share the financial responsibility for a loss, usually expressed as a percentage. Risk pooling refers to the practice of spreading risk across a large group of insured individuals or entities, which helps to stabilize premiums and losses. Reinsurance, on the other hand, occurs when an insurance company transfers a portion of its risk to another insurer to reduce the likelihood of large losses. Each of these concepts operates differently and has specific functions in the insurance field.