The Insurer Would Likely Attempt to Deny Coverage Based on Which

question 81

Multiple Choice

The insurer would likely attempt to deny coverage based on which of the following legal theories?

• A)Breach of contract
• B)Negligence
• C)Recklessness
• D)Illegality
• E)Misrepresentation

---

Definitions:

Adjustable-Rate Mortgages

A type of mortgage in which the interest rate applied to the outstanding balance varies throughout the life of the loan.

Immunization

A strategy in bond portfolio management aimed at minimizing the impact of interest rate changes on the portfolio's value while ensuring that the portfolio meets future cash flow needs.

Asset Portfolio

A collection of various types of investments held by an individual or institution.

Liabilities

Financial obligations or debts owed by a company or individual to creditors, typically categorized as current or long-term.