Premiums Based on Experience Ratings

question 19

Multiple Choice

Premiums based on experience ratings

• A)Are uniform across age groups.
• B)Are based on the loss experience of the insured.
• C)Vary depending on the income of the insured.
• D)Are illegal in most states in the United States
• E)Are only used in property-casualty insurance underwriting.

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Definitions:

Allison Transmission

A brand known for its heavy-duty automatic transmissions, commonly used in trucks and buses.

Five-Speed

A transmission configuration with five forward gear ratios, providing a balance between performance and fuel efficiency in vehicles.

Modulator Pressure

The pressure within an automatic transmission's hydraulic system that helps control shifting by modulating the engagement of clutches and brake bands.

Running Conditions

The operational state of a machine, vehicle, or system under normal, intended use.