Which of the Following Statements Is not Correct About the Insurance

question 6

Multiple Choice

Which of the following statements is not correct about the insurance premium?

• A) The forecast of policyholders' losses is the starting point for the calculation of the risk premium for an insurance policy.
• B) The fair rate of return, which is a part of the insurance premium, is governed by law.
• C) Loading expenses increases the insurance premium.
• D) Most investment income of insurance companies comes from low risk investments, which reduces the insurance premium.

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Definitions:

Justice Orientations

Perspectives or approaches toward understanding, interpreting, and applying concepts of fairness and justice within a society.

Moral Reasoning

The process of determining right from wrong in a given situation based on ethical principles and personal values.

Academic Performance

The level of achievement or efficiency in schoolwork and studies.

Parenting Style

The manner in which a parent raises their child, typically categorized into styles such as authoritative, authoritarian, permissive, and uninvolved.