Loss Severity Is Defined as the

question 22

Multiple Choice

Loss severity is defined as the

• A)probable size of the losses which may occur during some period.
• B)probable number of losses which may occur during some period.
• C)probability that any particular piece of property may be totally destroyed.
• D)probability that a liability judgment may exceed a firm's net worth.

---

Definitions:

Specific Language

Precise and clear language that explicitly states or describes something without ambiguity.

Article 2

A section of the Uniform Commercial Code (UCC) that governs the sale of goods, providing a framework for transactions and specifying obligations of buyers and sellers.

Unenforceable

Describing a contract or agreement that cannot be legally enforced or compelled in a court of law.

Article 2A

A provision within the Uniform Commercial Code that governs the leasing of personal property in the United States.