The premium on insurance is often _____ to the deductible,allowing insurance companies to _____ their customers.
A)equal;pool
B)directly related;signal
C)equal;offer a fair premium to
D)inversely related;screen

Question

Quizplus · Accepted Answer

The relationship between the premium and the deductible is inversely related, meaning that as the deductible increases, the premium decreases. This allows insurance companies to screen their customers and ensure that they are only insuring individuals who are less likely to make claims, ultimately reducing the risk for the company. Therefore, the best choice is D, inversely related and screen.

The Premium on Insurance Is Often _____ to the Deductible,allowing