Pro rata reinsurance - Study guides, Class notes & Summaries

AFSB 151 Practice Exams Any promise to answer for another person's debts or defaults, including the promise that a surety makes to the obligee under a bond, derives from which one of these? - Statutes of frauds Following the Civil War, the growing number and complexity of financial/commercial relationships led to the need for - Commercial suretyship. In accordance with a contract to build a county shed for the Village of Malcom, Raymone Construction purchases a contract surety bond ...

Risk _________ is when one takes action to prevent or reduce potential loss. - ANSWER Reduction When the number of similar units increases, the predictability of the loss improves according to the rule of _____ ________. - ANSWER Large Numbers The insuring of risks that are more prone to losses than average risks is known as? - ANSWER Adverse Selection A ___________ contract is an arrangement where one insurer transfers or shares risks with another insurer. - ANSWER Reinsurance _____...

New York State Property and Casualty Licensing Exam Questions and Answers Already Passed Pro Rata Liability Clause is included in an insurance policy to deal with the problem of Duplicate insurance policies The purpose of this clause is to illustrate the method to determine each insurer's liability in case of a loss. Each insurer pays its fair share determined by the percentage that the carrier's limit bears to the total coverage carried. pro rata liability If a loss occurs that is covered b...

CPCU 553 Exam Questions with 100% correct Answers | Verified & Updated | 13 Pages One disadvantage of the tort liability system for compensation of auto accident victims is that Select one: A. It does not provide a remedy for victims of irresponsible drivers who cause accidents. B. There are substantial time delays in reaching a settlement either through negotiation or through the courts. C. It does not allow punitive damage awards to be included as part of the compensation. D. The minim...

AFSB 151 PRACTICE EXAMS REVIEW QUESTIONS & ANSWERS, GRADED A+/ VERIFIED Any promise to answer for another person's debts or defaults, including the promise that a surety makes to the obligee under a bond, derives from which one of these? - -Statutes of frauds Following the Civil War, the growing number and complexity of financial/commercial relationships led to the need for - -Commercial suretyship. In accordance with a contract to build a county shed for the Village of Malcom, Raymone ...

Monetary damages awarded to an injured party must be based on all of the following elements EXCEPT: a. Damages as the proximate result b Negligence c. Available insurance d. A legal duty owed - Answer-c The risk of financial loss that an individual faces illustrates the principle of: a. Indemnity b. Limit of recovery c. Subrogation d. Insurable interest - Answer-d Under a Homeowners Policy, the insured location includes all of the following EXCEPT: a. A cemetery plot b. A seconda...

AFSB 151 Practice Exams Questions and Answers Any promise to answer for another person's debts or defaults, including the promise that a surety makes to the obligee under a bond, derives from which one of these? -Answer- Statutes of frauds Following the Civil War, the growing number and complexity of financial/commercial relationships led to the need for -Answer-Commercial suretyship. In accordance with a contract to build a county shed for the Village of Malcom, Raymone Construction pur...

personal lines insurance 2024 Latest Risk _________ is when one takes action to prevent or reduce potential loss. - ANSWER Reduction When the number of similar units increases, the predictability of the loss improves according to the rule of _____ ________. - ANSWER Large Numbers The insuring of risks that are more prone to losses than average risks is known as? - ANSWER Adverse Selection A ___________ contract is an arrangement where one insurer transfers or shares risks with another...

AFSB 151 Practice Exams Questions and Answers Any promise to answer for another person's debts or defaults, including the promise that a surety makes to the obligee under a bond, derives from which one of these? -Answer- Statutes of frauds Following the Civil War, the growing number and complexity of financial/commercial relationships led to the need for -Answer-Commercial suretyship. In accordance with a contract to build a county shed for the Village of Malcom, Raymone Construction pur...

Pro Rata Liability Clause is included in an insurance policy to deal with the problem of - ANSWER-Duplicate insurance policies The purpose of this clause is to illustrate the method to determine each insurer's liability in case of a loss. Each insurer pays its fair share determined by the percentage that the carrier's limit bears to the total coverage carried. pro rata liability - ANSWER-If a loss occurs that is covered by more than 1 insurance policy that was purchased by the insured,...