A contractual arrangement that transfers exposure from one insurer to another insurer is a:

A reinsurance contract is an agreement between two insurance companies where one insurer, known as the ceding company, transfers all or part of its risk from its insurance policies to another insurer, the reinsurer. This practice allows the ceding insurer to reduce its potential liability on individual risks, protect against catastrophic losses, and stabilize its financial position, thereby increasing its capacity to underwrite more policies. It is fundamentally "insurance for insurers."

A. Reciprocal contract: This is an arrangement where members of an unincorporated association, known as a reciprocal exchange, agree to insure one another.

B. Coinsurance contract: This is a provision where the insurer and the insured share losses in a specified proportion, not a risk transfer between two insurers.

D. Captive contract: This refers to an insurance arrangement where a subsidiary (the captive insurer) is formed by a parent company to insure the parent's own risks.

1. Code of Virginia, Title 38.2. Insurance. The entire framework of reinsurance is detailed in Chapter 11 (§ 38.2-1100 et seq.), which governs the legal requirements and practices for an insurer to cede risks to another insurer (a reinsurer) within the Commonwealth.

2. Code of Virginia, § 38.2-1200. Scope; "reciprocal insurer" defined. This section explicitly defines a reciprocal insurer as "an unincorporated aggregation of persons, operating individually and collectively through an attorney-in-fact, to provide insurance among themselves." This distinguishes it from reinsurance.

3. Rejda, G. E., & McNamara, M. J. (2017). Principles of Risk Management and Insurance (13th ed.). Pearson Education. In Chapter 7, "Insurance Company Operations," reinsurance is defined as an arrangement by which the primary insurer that initially writes the insurance transfers to another insurer (called the reinsurer) part or all of the potential losses associated with such insurance.

4. Vaughan, E. J., & Vaughan, T. (2013). Fundamentals of Risk and Insurance (11th ed.). John Wiley & Sons. Chapter 26, "Reinsurance," states, "Reinsurance is a device through which an insurance company transfers some or all of its risk to another insurance company... The company that issued the policy is the primary insurer or ceding company; the company to which the risk is transferred is the reinsurer." (p. 541).