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If Those with a Greater Likelihood of Filing a Claim

Question 116

Multiple Choice

If those with a greater likelihood of filing a claim do in fact purchase insurance more frequently,then


A) they will let their coverage lapse.
B) they will file claims and average premiums will rise.
C) they will file claims but average premiums will be unchanged.
D) those who did not purchase insurance before will find it to be more attractive.
E) they will purchase less insurance in the future.

Correct Answer:

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