Pooling of risks - Study guides, Class notes & Summaries

MHA 707 Exam C | 89 Questions with 100% Correct Answers | Verified | Latest Updated 2024 | Already Passed Nonmarketability of risks - Inherent I medicine and medical practice health insurance. Moral hazard - behaving differently when you know someone else is taking the risk (induced demand) Adverse selection - The sicker people likely want more insurance (the healthier, less) Pooling of risk - Sharing risk proportionately among many is a basic insurance concept Financing health care in U...

Insurance level 1 Alberta exam Questions with Verified Solutions The philosophy behind insurance is to a) provide a vehicle through which wealthy individuals and corporations may protect their property against catastrophic loss b)allow insurers to grow larger and more stable, thus creating jobs and supporting the economy c) spread the losses of the few amongst the premiums of the many d) spread the losses of the many amongst the premiums of the few spread the losses of the few amongst ...

Xcel Solutions Pennsylvania Insurance Test Questions and Answers Already Passed A nonparticipating company is sometimes called a Stock Insurer The Do Not Call Registry offers exemptions for calls placed from all the following EXCEPT Insurance Sales Calls Ken is a producer who has obtained Consumer Information Reports under false pretenses. Under the Fair Credit Reporting Act, what is the maximum penalty that may be imposed on Ken? $5,000 A plan in which an employer pays insura...

Pooling of Risks - ANSWER A large group of people contribute money to a fund out of which their losses can be paid Policyowner - ANSWER is the person or org that applies for the policy and pays the premium Actuarial Tables - ANSWER Are statistical tables that are used when calculating premium rates and mortality loss reserves

This type of insurance pays when an insured has died to offset the economic loss to dependents. A) life B) health C) annuity D) property and casualty - Life Insurance An insurance _________ is the device used by insurance companies to accumulate funds to meet uncertain losses. - Policy Insurance companies aggregate (collect) premiums to make claims payments - the aggregating of premiums to pay claims is called _____ ___________. - Risk Pooling The more _______ units an insurance company h...

RMIN 4000 Exam 3 Questions and Answers | Latest Update | 2024/2025 | 100% Pass What is the purpose of risk pooling in insurance? Risk pooling spreads the financial impact of risks across a large group, reducing the burden on any individual member. How does the principle of indemnity work in insurance? The principle of indemnity ensures that the insured is compensated for a loss to the extent of their financial loss, but not more. What is the difference between a liability insu...

RMIN 4000 UGA Test 3 Questions and Answers | Latest Update | 2024/2025 | 100% Pass What is the primary purpose of insurance? The primary purpose of insurance is to transfer risk from the insured to the insurer in exchange for a premium. What is a deductible in an insurance policy? A deductible is the amount the insured must pay out of pocket before the insurance company covers the remaining costs. What is "underwriting"? Underwriting is the process by which an insurance co...

What uncontrollable marketing element provides user input as to how the company delivers upon its value proposition? Quality control inspections Product delivery schedule Competitive elements Consumer feedback - Answer Consumer feedback Which controllable marketing function should a company use to achieve its firm-level goals and to satisfy the target customers' needs and wants? Sales Promotion Production Product - Answer Product Which controllable element is included in the m...

What is required by the Fair Credit Reporting Act of 1970? - If an applicant is rejected due to findings in a report, the applicant must be provided with the names and address of the reporting agency. An applicant has the right to know anyone questioned regarding the report. An applicant must be notified a report has been requested. Insurable interest exists between all of the following - Husband and wife Blood relatives (parent, grandparent, children and grandchildren) Business partners ...

Pooling of Risks - Answer A large group of people contribute money to a fund out of which their losses can be paid Policyowner - Answer is the person or org that applies for the policy and pays the premium Actuarial Tables - Answer Are statistical tables that are used when calculating premium rates and mortality loss reserves Life Insurance Policies transfer: - Answer financial risks of premature death on a defined amount Loss of income - Answer the face amount of life...