Risk Margins Are Determined on the Basis Of

question 53

Multiple Choice

Risk margins are determined on the basis of:

• A) The robustness of valuation models used.
• B) Past experience of the insurer and the industry.
• C) The reliability and volume of data.
• D) The characteristics of the classes of business underwritten.
• E) All of the given answers.

Comprehend Adam Smith's contributions to efficiency through specialization.

Identify the role of horizontal and vertical communication in organizations.

Understand organizational culture and its informal and formal expressions.

Distinguish between different types of departmentalization and their implications.

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Definitions:

Identification

In psychoanalytic theory, taking on the values and worldview of another person (e.g., a parent).

Freud

Sigmund Freud was an Austrian neurologist who established psychoanalysis, a technique to treat mental disorders by engaging in conversation between a psychoanalyst and the patient.

Freud

Sigmund Freud was an Austrian neurologist and the founder of psychoanalysis, focusing on the unconscious aspects of personality and human behavior.

Hypnosis

A trance-like state characterized by heightened focus, concentration, and suggestibility, often used for therapeutic purposes.