The Principle of ____ States That an Insured Should Not

question 131

Multiple Choice

The principle of ____ states that an insured should not be compensated by an insurance company in an amount exceeding the economic loss.

• A)subrogation
• B)insurable interest
• C)coinsurance
• D)indemnity
• E)none of these

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Definitions:

Statistically Significant

A determination that a relationship observed in a dataset is unlikely to have occurred by chance, according to a predefined significance level.

Significance Level

This is the probability of rejecting the null hypothesis when it is true, usually denoted by alpha (α), and used as a threshold for determining statistical significance.

Null Hypothesis

A hypothesis that states there is no significant difference or effect, typically to be tested against an alternative hypothesis.

Expected Number

A statistical term referring to the calculated average or mean value anticipated in a probability distribution or experiment.