Question

What is the primary objective of ensuring "equity among risks" in life insurance underwriting?

a.

Maximizing insurer profits

b.

Minimizing policyholder premiums

c.

Placing similar risks in the same premium class

d.

Encouraging higher risk classifications

Answer: (c).Placing similar risks in the same premium class Explanation:The primary objective of ensuring equity among risks is to place individuals with similar risks in the same premium class.

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Q. What is the primary objective of ensuring "equity among risks" in life insurance underwriting?

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