Question
a.
Preserve the asset base and generate adequate profit
b.
Eliminate all risk from the portfolio
c.
Take on as much risk as possible
d.
Reduce the portfolio of risks
Posted under IC85 Reinsurance Management
Interact with the Community - Share Your Thoughts
Uncertain About the Answer? Seek Clarification Here.
Understand the Explanation? Include it Here.
Q. Retention is assessed in the light of the need to:
Similar Questions
Explore Relevant Multiple Choice Questions (MCQs)
Q. The concept of an optimum retention refers to:
View solution
Q. What is the purpose of setting cash loss limit for proportional reinsurance arrangements?
View solution
Q. What is the primary goal of every insurer with respect to their capital?
View solution
Q. Which type of investment is likely to yield higher interest but may result in illiquid asset or loss of higher interest due to premature closure?
View solution
Q. Why is investment in liquid assets important for insurers?
View solution
Q. Why may it not be desirable to sell stocks and shares to pay for a claim?
View solution
Q. What is the importance of the management weighing the alternatives to arrive at the retention which represents the best solution for the insurer?
View solution
Q. What is the impact of a highly competitive market on an insurer's profitability?
View solution
Q. In what circumstances should an insurer increase their retention to preserve the acceptable degree of fluctuation of results?
View solution
Q. What is the impact of a bad reinsurance market on an insurer's retention?
View solution
Q. When may an insurer consider reinsuring as much as possible?
View solution
Q. What is the purpose of solvency margin regulation?
View solution
Q. What happens if an insurer fails to maintain an acceptable degree of fluctuation of results?
View solution
Q. In which circumstances should an insurer leave their retention at existing levels despite the "growth"?
View solution
Q. What is the purpose of reinsurers requiring higher retentions during times of bad results?
View solution
Q. Why might an insurer consider reinsuring as much as possible during times when the supply of reinsurance exceeds demand?
View solution
Q. What is the purpose of "solvency margin" regulation?
View solution
Q. What happens if an insurer invests in stock market investments?
View solution
Q. What is the purpose of using stock market investments to leverage capital gain?
View solution
Q. If management sets high retention limit , then ____________
View solution
Recommended Subjects
Are you eager to expand your knowledge beyond IC85 Reinsurance Management? We've handpicked a range of related categories that you might find intriguing.
Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!
