« previous next »

Author Question: Which of the following statements about retrospective rating is true? A) The premium for the ... (Read 116 times)

SO00

  • Hero Member
  • *****
  • Posts: 568
on: Jul 11, 2018
Which of the following statements about retrospective rating is true?
 
  A) The premium for the current period is determined by the loss experience in prior periods.
  B) The premium for the current period is determined by the loss experience during the current period.
  C) The premium for the current period is determined by predicted future loss experience.
  D) The premium for future periods is determined by the loss experience for the current period.

Question 2

Ratemakers at ABC Insurance Company calculated the pure premium to be 280 for a risk they were considering insuring. What is the gross rate for this risk, assuming a 30 percent expense ratio?
 
  A) 364
  B) 400
  C) 430
  D) 520


Laurenleakan

  • Sr. Member
  • ****
  • Posts: 309
Reply #1 on: Jul 11, 2018
Answer to Question 1

Answer: B

Answer to Question 2

Answer: B


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

The effects of organophosphate poisoning are referred to by using the abbreviations “SLUD” or “SLUDGE,” It stands for: salivation, lacrimation, urination, defecation, GI upset, and emesis.

Did you know?

Lower drug doses for elderly patients should be used first, with titrations of the dose as tolerated to prevent unwanted drug-related pharmacodynamic effects.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Did you know?

Atropine was named after the Greek goddess Atropos, the oldest and ugliest of the three sisters known as the Fates, who controlled the destiny of men.

Did you know?

Only 12 hours after an egg cell is fertilized by a sperm cell, the egg cell starts to divide. As it continues to divide, it moves along the fallopian tube toward the uterus at about 1 inch per day.

True-color view of Mars seen through NASA's Hubble Space Telescope in 1999 True-color view of Mars seen through NASA's Hubble Space Telescope in 1999
True-color image of layers of haze in Titan's atmosphere. True-color image of layers of haze in Titan's atmosphere.
Adapoids and omomyoids had longer snouts and are the first “true” primates. Adapoids and omomyoids had longer snouts and are the first “true” primates.
Which of the following statements is true of linkage? Which of the following statements is true of linkage?
How to convert verbal statements into algebraic equations (Part 2) How to convert verbal statements into algebraic equations (Part 2)
A diagram showing one of Mendel’s crosses. True-breeding strains of pea plants with smooth and ... A diagram showing one of Mendel’s crosses. True-breeding strains of pea plants with smooth and ...
Video: The life cycle of protein

For a complete list of videos, visit our video library