Which of the Following Is Not Directly a Subject of State

question 12

Multiple Choice

Which of the following is not directly a subject of state insurance regulation?

• A) Financial solvency of insurance companies
• B) Trade practices of insurance companies, such as agent compensation and product pricing
• C) Marketing activities of insurance companies
• D) The rates that insurers charge for insurance

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Definitions:

Straight-Line Method

A method of allocating an asset's cost evenly over its useful life, commonly used in depreciation and amortization calculations.

Residual Value

The estimated value that an asset will have at the end of its useful life.

Depreciation Expense

An accounting method to allocate the cost of a tangible asset over its useful life.

Residual Value

The estimated salvage value of an asset at the end of its useful life.