« previous next »

Author Question: Which of the following statements about retrospective rating is true? A) The premium for the ... (Read 103 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?

Drugs are in development that may cure asthma and hay fever once and for all. They target leukotrienes, which are known to cause tightening of the air passages in the lungs and increase mucus productions in nasal passages.

Did you know?

About one in five American adults and teenagers have had a genital herpes infection—and most of them don't know it. People with genital herpes have at least twice the risk of becoming infected with HIV if exposed to it than those people who do not have genital herpes.

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

Did you know?

The first oral chemotherapy drug for colon cancer was approved by FDA in 2001.

Did you know?

Cucumber slices relieve headaches by tightening blood vessels, reducing blood flow to the area, and relieving pressure.

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?
A pump showing regular with a pump octane of 87, plus rated at 89, and premium rated at 93. These ... A pump showing regular with a pump octane of 87, plus rated at 89, and premium rated at 93. These ...
How to convert verbal statements into algebraic equations (Part 1) How to convert verbal statements into algebraic equations (Part 1)
Midsagittal section indicating locations of true and false pelves Midsagittal section indicating locations of true and false pelves
The treasurer of a union proposes changing the method of compounding interest on premium ... The treasurer of a union proposes changing the method of compounding interest on premium ...
Video: Contraction and Relaxation Animation

For a complete list of videos, visit our video library