The fee that insurance companies collect in exchange for covering unexpected costs is called a:
A) premium.
B) ultimatum.
C) prepaid event charge.
D) preventative payment.
Correct Answer:
Verified
Q82: In general,people are willing to pay more
Q84: Diversification involves:
A) investing all your money in
Q84: In general,the amount people pay for insurance
Q85: Risk diversification refers to the process by
Q85: Investing all your money in one company
Q89: Insurance premiums represent:
A) the expected value of
Q90: A mechanism for reallocating risk is:
A) risk
Q90: Risk pooling:
A)reallocates the likelihood of catastrophes happening.
B)reallocates
Q92: The foundational principle that makes insurance companies
Q98: When risks are shared across many different
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