In Insurance Terms,what Does Adverse Selection Refer To? (Cost Advantage)

question 22

Multiple Choice

In insurance terms,what does adverse selection refer to? (Cost Advantage)

• A)When employees choose an insurance plan they don't like,but are stuck with it for a year
• B)When insurance companies use medical underwriting to choose who to insure
• C)When employees are forced to choose between what they think are two inferior insurance programs
• D)The tendency of an insurance pool to disproportionately attract "bad risk" employees and discourage "good risk" employees

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Definitions:

Sensitization

An increased response to a stimulus following repeated exposures, typically leading to an exaggerated reaction over time.

Behavioral Contrast

A phenomenon in which the rate of a behavior varies inversely with an alteration in the conditions of reinforcement for another behavior.

Higher-order Conditioning

A process in classical conditioning by which a stimulus that has become a conditioned stimulus can be used to condition a new stimulus.

Stimulus Presentations

Stimulus presentations involve the exposure of an individual to a specific stimulus or series of stimuli, often used in psychological experiments to observe responses or behaviors.