Question

Why is public disclosure of insurance companies important for regulators?

a.

It helps the regulator to understand market discipline

b.

It facilitates the formulation, revision, and amendment of regulations

c.

It ensures profitability for insurance companies

d.

It promotes competition in the insurance sector

Posted under IC 89 Management Accounting

Answer: (b).It facilitates the formulation, revision, and amendment of regulations Explanation:Public disclosure helps the regulator formulate, revise, and amend regulations to bring more market discipline and ensure the real and sustainable development of the insurance sector.

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Q. Why is public disclosure of insurance companies important for regulators?
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