Question

How are renewals of group policies rated based on claims experience?

a.

Adverse experience results in a premium discount (bonus)

b.

Favourable experience results in a premium loading (malus)

c.

Adverse experience results in a premium loading (malus)

d.

Favourable experience results in a premium discount (bonus)

Answer: (c).Adverse experience results in a premium loading (malus) Explanation:Renewals of group policies are rated based on claims experience, and adverse experience results in a premium loading (malus).

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Q. How are renewals of group policies rated based on claims experience?

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