Changes in Payment Procedures or Changes in the Definition of Payment

question 58

True/False

Changes in payment procedures or changes in the definition of payment date for coding purposes may or may not affect loss reserve developments.

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Definitions:

Contract

A legally binding agreement between two or more parties that outlines obligations and provisions for the parties involved.

Postbox Rule

A legal doctrine that states that an acceptance of an offer becomes effective when it is posted, not when it is received by the offeror.

Modern Business

Contemporary commercial activities or enterprises that emphasize innovation, technology, and global outreach in operations and strategies.

Freedom Of Contract

The parties to a contract are generally not restricted as to the terms of their contractual agreements.