Question

What is the role of underwriters and actuaries in setting premiums or assessing liabilities?

a.

They consider various measures of dispersion.

b.

They rely on a cushion of working capital.

c.

They preserve the income from investment.

d.

They ensure insurers always have a sufficient margin of assets over estimated liabilities.

Posted under IC85 Reinsurance Management

Answer: (a).They consider various measures of dispersion. Explanation:Underwriters and actuaries may consider various measures of dispersion, that is the difference between the actual losses and average losses, when setting premiums or assessing liabilities.

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Q. What is the role of underwriters and actuaries in setting premiums or assessing liabilities?
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