Which of the Following Statements Is False

question 10

Multiple Choice

Which of the following statements is false?

• A)An insurance broker is an independent intermediary between an insurance company
• B)An insurance broker usually acts for the insured.
• C)An insurance agent is engaged by and represents the insurance company.
• D)An insurance agent is engaged by and represents the insured person.

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Definitions:

Probability Distributions

A function in mathematics that characterizes the probability of achieving any given value that a random variable might take on.

Valid Probability

A numerical value representing the likelihood of an event, where the probability is between 0 and 1, inclusive.

Poisson Random Variable

Represents a statistical measure that models the number of times an event happens in a fixed interval of time or space when these events occur with a known constant mean rate independently of the time since the last event.

Standard Deviation

A measure of the amount of variation or dispersion in a set of values, calculated as the square root of variance.