cession n1 : an act of ceding
: a yielding (as of property) to another: as
a in the civil law of Louisiana : assignment or transfer of property rights by a debtor to a creditor
b : transfer of liability by an insurer to a reinsurer
c : transfer of control of or sovereignty over specific property or territory esp. by treaty [such district…as may, by of particular States…become the seat of the government of the United States "U.S. Constitution art. I"]
2 : the monetary amount of liability ceded by an insurer to a reinsurer compare concession
Source: Merriam-Webster's Dictionary of Law ©1996. Merriam-Webster, Incorporated. Published under license with Merriam-Webster, Incorporated.