Which of the Following Observations Concerning Reinsurance Is FALSE

question 95

Multiple Choice

Which of the following observations concerning reinsurance is FALSE?

• A)It is an alternative to managing risk on a PC insurer's balance sheet.
• B)Non-U.S.reinsurers are majority players in U.S.reinsurance business.
• C)It does not enable the insurer to improve its capital position.
• D)It can be used to limit losses and stabilize cash flows.

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Definitions:

Pre-reproductive Portion

The demographic group in a population that is too young to reproduce, affecting population growth rates.

Less Developed Countries

Nations characterized by low levels of income, industrialization, and modernization, often facing challenges like poverty and inadequate healthcare.

Density-independent Factor

A factor affecting populations regardless of their density, such as weather or natural disasters.

Survivorship Curve

A graph showing the proportion or number of individuals surviving at each age for a given species or group.