Which of the Following Statements Is True About Exclusions

question 68

Multiple Choice

Which of the following statements is true about exclusions?

• A)Losses caused intentionally by the insured are not excluded.
• B)Wear and tear is included in insurance coverage.
• C)Exclusions encourage adverse selection and moral hazard.
• D)Losses that are not accidental make prediction difficult.
• E)Naturally occurring losses that are expected are not excluded in insurance coverages.

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