Q: The claims issued by the DSU are called premiums. It is true or false?
A: Answer: false
Q: are, in essence, an insurance contract against the default of one or more borrowers.
A: A credit default swap (CDS) is a financial derivative or contract that allows an investor to "swap"…
Q: All of the following are reasons for a primary insurer to use reinsurance EXCEPT O to increase the…
A: Reinsurance is nothing but an insurance policy taken by an insurance company from another insurance…
Q: The contract between insured and insurer is O a. Coverage O b. Face value Oc. Policy O d. Premium
A: Insurance means where insurance company agree to pay the specified amount to insured person in case…
Q: Which of the following stalements is required by Long- Term care insurers when referring lo…
A: The answer for the multiple choice question and relevant explanation are presented hereunder : What…
Q: True or False? 1. An insurance contract is derecognized when it is extinguished and when it is…
A: An insurance contract is a contract between the two parties where one party promises to pay the…
Q: A policy which runs for a fixed period or up to a particular age of the insured is called_
A: Insurance business is a type of business in which one company provides assurance to another company…
Q: Were you correct that the pension liability is not reported in the balance sheet? What is the…
A: Pension refers to the accumulated amount of money that is added during the employment period of an…
Q: Type of long-term care policies Triggers to become eligible for benefits Exclusions
A: Point to be Noted:- Since you have asked questions with multiple sub parts. I will be answering…
Q: The policy holder who receives the coverage is called ________________. a. Premium b. Face value c.…
A: There are various terminology used in insurance business
Q: Which of the following sections of a commercial general liability policy contains information about…
A: Commercial General Liability (CGL) policy: You can safeguard your firm from financial ruin with a…
Q: 11. Which of the following is NOT the features of investment-linked insurance? O A. The insured can…
A: A life insurance plan that combines investment and protection is referred to as an investment-linked…
Q: If the insured outlived the life insurance policy, the proceeds shall be taxable to the beneficiary…
A: If the insured outlived the life insurance policy, he/she will get his/her premium back, this…
Q: The Patient Protection and Affordable Care Act limits the extent to which insurers may consider age…
A: Insurance is an agreement between two parties in which one party (insurance company) agrees to…
Q: what are the pros and cons of being insured by a mutual insurance company vs a stock insurance…
A: There are two types of insurance companies: mutual insurance company and stock insurance companies.…
Q: An insurance refers to a signed agreement between the insured and the insurer. a. Security b.…
A: In Insurance there are two parties, Insurer and Insured
Q: The policy holder who receives the coverage is called O a. Premium O b. Insured O. Face value O d.…
A: Insurance is a term used for the security provided in monetary terms by an insurance company to a…
Q: Who are front-line underwriters? What are premium volume and loss experience with the insurer? What…
A: Underwriters are the person who sell theshares on behalf of the firm. They are very useful for the…
Q: What is the consideration for the insurer in an insurance contract?
A: Contract: Contract is an agreement among two parties or more parties which includes enforceable…
Q: Briefly explain the following characteristics of long-term care insurance. Protection against…
A: In long-term care insurance plans there are many approaches to obtain inflation insurance cover. The…
Q: The company selling the insurance policy is the _________________. a. Insurer b. Policy c. Premium…
A: Insurance is a means of protection from financial loss.
Q: What happens when you want your policy to be a paid-up policy. Show this clearly by giving an…
A: Additional whole life insurance coverage obtained with dividends rather than premiums from a policy…
Q: An insurance refers to a signed agreement between the insured and the insurer. O a. Certificate O b.…
A: Insurance policies are beneficial to people as it provides cover against uncertainties, significant…
Q: when reinstating a policy an insured must provide the insurer with which of the following: A.…
A: Reinstating or renew of a policy can be done within 30 days of lapse of a policy without any…
Q: If an insured fails to pay the premium when due, the insured's heallh policy will remain in force…
A: Health insurance is a type of insurance that helps to pays for medical costs incurred as a result of…
Q: An implied condition of pooling risks with insurance is that the event being insured against is…
A: Insurance: An arrangement between the two parties( Insurer & Insured) where the insurer company…
Q: What are the differences between an insurance agent and an insurance broker? Discuss.
A: Insurance brokers are individuals that sells, buy or negotiate variety of financial products that…
Q: Policy reserves for life insurers are the loss reserves equivalent of P&C insurers. True False
A: The question is related to Reserve in an insurance policy. Policy reserve in life insurance is a…
Q: a. What is the actuarially fair cost of full insurance against the loss if the company does not make…
A: The question belongs to decision making where there are two options for mitigate future loss. The…
Q: Discuss the potential for adverse selection when insureds exercise the renewability or…
A: In the insurance industry, adverse selection refers to situations in which an insurance company…
Q: 33) When a policy matures on the death of the insured , it is called as
A: Whole life insurance policy it represents a contract between the insured and insurer that as long as…
Q: Indicate whether the statement is true or false, and justify your answer.The main advantage of a…
A: Given: The main advantage of a Cochrane insurance contract over a guaranteed renewable contract is…
Q: Which of the following sections of a commercial general liability policy contains information about…
A: Insurance is the process through which an individual or corporation is provided financial coverage…
Q: How do insurance companies calculate their premiums?
A: Insurance guarantees payment of a stated benefit after completion of a defined period. After expiry…
Q: Which of the following is correct about the effect of a deductible with respect to the price of an…
A: Insurance is an agreement or a contract between two parties. An insurance contract states that one…
Q: What are the pro and cons of third-party insurance?
A: Third-party insurance is an insurance policy purchased for the protection against the claims of…
Q: Why are the credit default swaps, in essence, an insurance contract against the default of one or…
A: Credit default swaps are derivatives contract between two investors in which investors who has lend…
Q: What are the problems with return on premium life insurance? What type of individual would purchase…
A: Term life insurance guarantees payment of a stated death benefit if the covered person dies during a…
Q: he contract between insured and insurer is ______________. a. Coverage b. Premium c. Policy d. Face…
A: Insurance means where insurance company agree to pay the specified amount to insured person in case…
If the renewal of the policy was at the discretion of the insurer, would you expect the premiums to be higher or lower?
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- One of the purposes that deductible are used in insurance policies is to O eliminate coverage for small claims. O place restrictions or limits on the insurer's promise to perform. provide broader coverage by increasing the number of perils covered. exclude perils that are not insurable.Which of the following is not a requirement of a "qualified" long-term care insurance policy? The benefit of the policy must offer inflation protection. The contract must offer to cover pre-existing conditions. The contract must be guaranteed renewable. The contract must offer to pay a nonforfeiture benefit.Choose the best answer. 1.Which statement is TRUE about an insurance contract? * a.The insurer is the party that has an obligation under an insurance contract to compensate a policyholder if an insured event occurs. b.The policyholder is the party that has a right to compensation under an insurance contract if an insured event occurs. c.The insured event is an uncertain future event that is covered by an insurance contract and creates insurance risk. d.All of these statements are true about an insurance contract. 2. IFRS 17 provides that insurance contracts should * a.Comply with all existing IFRS b.Generally continue to be subject to existing accounting policies. c.Comply with the IFRS Framework document. d.Be covered by IAS 32 and IFRS 9 3.An insurance contract can contain both deposit and insurance elements. An example might be a reinsurance contract where the cedant receives a repayment of the premiums at a future date if there are no claims under the contract. Effectively this…
- Which of the following is correct about the effect of a deductible with respect to the price of an insurance policy? O A policy with a deductible will raise the premium. This will make the overall cost of insurance higher for policyholders who do not have a claim, but lower for those with high claims O A policy with a deductible will lower the premium. This will make the overall cost of insurance higher for policyholders who do not have a claim, but lower for those with high claims O A policy with a deductible will raise the premium. This will make the overall cost of insurance lower for policyholders who do not have a claim, but higher for those with high claims O A policy with a deductible will lower the premium. This will make the overal cost of insurance lower for policyholders who do not have a claim, but higher for those with high claims33) When a policy matures on the death of the insured , it is called as:What is meant by the expression, “The policyholder gets the benefit of the doubt,” in connection with any interpretation of the provisions of the life insurance policy?
- Which of the following is NOT true about a temporary insurance agreement? Select one: a. It can only cover life insurance and living benefits b. It expires the date the policy becomes effective c. The applicant will submit the premium with the application d. It can be provided if the agent believes the policy will be issuedWhich is not an essential characteristic of an insurance contract? A. transfer of significant risk from the issuer to the policyholder B. policyholder pays the issuer for the transfer of risk C. issuer indemnifies the policyholder for losses when the insured event occurs D. none of the aboveAn implied condition of pooling risks with insurance is that the event being insured against is under the control of the individuals. TRUE or FALSE Strictly speaking, the price of insurance is the pure or actuarily fair premium TRUE or FALSE