Which of the Following Statements About Retrospective Rating Is True

question 1

Multiple Choice

Which of the following statements about retrospective rating is true?

• A)The premium for the current period is determined by the loss experience for prior periods.
• B)The premium for the current period is determined by the loss experience during the current period.
• C)The premium for future periods is determined by the average loss experience for the current and previous periods.
• D)The premium for future periods is determined by the loss experience for the current period.

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Definitions:

Environment

The surroundings or conditions in which a person, animal, or plant lives or operates.

Behavior

The actions or reactions of a person or animal in response to external or internal stimuli.

Ergonomics

The scientific discipline concerned with understanding human interactions and designing systems, products, and environments that enhance safety, comfort, and performance.

Psychology Department

An academic department in universities focused on the study of human behavior, thoughts, and emotions.