Question

What are some scenarios that insurers must be prepared to accept the risk associated with?

a.

Catastrophes like earthquake or tsunami

b.

Accumulation of many losses

c.

Simple lack of financial capacity

d.

All of the above

Posted under IC85 Reinsurance Management

Answer: (d).All of the above Explanation:Insurance companies have to be prepared to accept the risk associated with various scenarios such as catastrophes like earthquake, tsunami, or accumulation of many losses, or simple lack of financial capacity.

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Q. What are some scenarios that insurers must be prepared to accept the risk associated with?
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