The Policyholders' Surplus of an Insurer Is Defined as the Difference

question 10

Multiple Choice

The policyholders' surplus of an insurer is defined as the difference between its

• A)assets and its liabilities.
• B)premium income and its expenses.
• C)reserves and its liabilities.
• D)assets and its nonadmitted assets.

---

Definitions:

Classical Conditioning

A learning process that occurs when two stimuli are repeatedly paired: a response that is initially elicited by the second stimulus is eventually elicited by the first stimulus alone.

Conditioned Response

A learned reaction to a previously neutral stimulus that has become associated with an unconditioned stimulus after conditioning.

Conditioned Stimulus

An initially neutral trigger that, following its association with an unconditioned stimulus, ultimately elicits a conditioned reaction.

Unconditioned Stimulus

In behavioral psychology, an automatically triggering stimulus that leads to a natural response without the need for prior learning.