Which of the Following Statements About Workers Compensation Insurance Is

question 9

Multiple Choice

Which of the following statements about workers compensation insurance is (are) true?
I.Under the workers compensation part of the policy,the insurer agrees to pay the benefits required by the workers compensation law of any state listed in the policy declarations.
II.The employers liability part of the policy provides workers compensation benefits when employees are working in states other than those listed in the policy declarations.

• A)I only
• B)II only
• C)both I and II
• D)neither I nor II

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Definitions:

Profit

The financial gain realized when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes involved in sustaining the activity.

Joint Ventures

A commercial enterprise undertaken jointly by two or more parties that otherwise retain their distinct identities.

Taxed

Subject to a compulsory financial charge or some other type of levy imposed upon a taxpayer by a governmental organization.

Formal Agreement

A legally binding contract or document established between two or more parties, outlining specific terms and conditions that are enforceable by law.