The long tail in liability insurance refers to the fact that:
A) The present value of the stream of payments by the insured is lower than their face value.
B) Claims may not be reported until many years after the period of coverage.
C) Liability policies are usually written for more than one calendar year.
D) None of the above.
Correct Answer:
Verified
Q23: Actuarial calculations are used by insurance firms
Q24: The pure premium for a life insurance
Q25: Reinsurers are used by property/casualty insurers:
A) To
Q26: Statutory Accounting differs from GAAP accounting because
Q27: Property/casualty insurers' asset portfolios are likely to
Q29: The law of large numbers suggests that:
A)
Q30: The combined ratio is an important measure
Q31: The Net Underwriting Margin (NUM) is a
Q32: Property/Casualty insurance companies are often under statutory
Q33: A P/C insurance company has a loss
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents