Which of the Following Statements About the Investments of Property

question 27

Multiple Choice

Which of the following statements about the investments of property and liability insurers is (are) true?
I.Income from investments is important in offsetting any unfavorable underwriting experience.
II.Because premium income is continually being received,the investment objective of liquidity is of little importance.

• A)I only
• B)II only
• C)both I and II
• D)neither I nor II

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Definitions:

Arterial Blood Gases

A test that measures the levels of oxygen, carbon dioxide, and blood pH to assess lung function and how well the lungs are able to move oxygen into the blood and remove carbon dioxide.

Compensation

Remuneration or payment received by employees for their labor or services, often including wages, salaries, benefits, and bonuses.

Active Transport

The movement of substances across cell membranes against their concentration gradient, requiring energy expenditure by the cell.

Extracellular

Refers to anything located or occurring outside the cells, typically involving the extracellular matrix or fluids in the body.