ABC Insurance Company Entered into a Reinsurance Agreement with XYZ

ABC Insurance Company entered into a reinsurance agreement with XYZ Reinsurance.Under the contract,XYZ Re has no liability unless ABC's loss ratio exceeds 75 percent for the year.XYZ Re agreed to pay all losses in excess of the 75 percent loss ratio.ABC Insurance Company is using reinsurance to

A) stabilize profits.
B) reduce the unearned premium reserve.
C) provide large risk capacity.
D) retire from a line or territory.