The risk of an insurer with more exposures is relatively higher than that of an insurer with fewer exposures under the same expected distribution of losses.

Name: The risk of an insurer with more exposures is relatively higher than that of an insurer with fewer exposures under the same expected distribution of losses.
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The risk for an insurer with more exposures is relatively lower due to the law of large numbers, which reduces the variability of losses and allows for more accurate predictions.

The Risk of an Insurer with More Exposures Is Relatively