Let's denote . In a reductive Cartan geometry we can identify with a subspace of complementary to and invariant under the adjoint action of . So we have a kind of "horizontal" direction. Let's see.
You can fix a choice of and you get a projection . This way, the Cartan connection (or the MC form, if we are in a Klein geometry) can be split
The 1-form is the 1-form of a principal connection on a principal bundle, and describe the horizontal subspaces. The map is a isomorphism, since it is surjective, and dimensions agree. Observe that if then .
Personal belief
Conversely, given a Cartan geometry and a principal connection on its principal bundle such that we can define a projection given by
split. I think it can be proved that is a -module and that is well-defined, i.e., independent of . See my own question in MO.
In any case, if we have a reductive Cartan geometry, we have a isomorphism between and :
This means that reductive Cartan geometries are geometries in which a little displacement on the base manifold from to a nearby point corresponds to a canonical element . A kind of "canonical translation" or transvection (see "Symmetric Space Cartan Connections and Gravity in Three and Four Dimensions" by Derek Wise page 3). That is, we obtain a one-parameter subgroup of the group of of privileged transformations of the geometry, associated to this little displacement. This is in total analogy with what happens in the case of affine space and usual translations.
Conversely, given a Klein geometry in which there is an isomorphism from to a subspace of then the short exact sequence
splits, and . Of course, several properties have to be checked...