Question

How are underwriting expenses typically expressed?

a.

As a flat amount per policy

b.

As a percentage of premiums

c.

As a percentage of sum assured

d.

As a fixed annual fee

Answer: (c).As a percentage of sum assured Explanation:Underwriting expenses are usually expressed as a percentage of the sum assured.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. How are underwriting expenses typically expressed?

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. When do insurers typically insist on medical examination and reports for a life assured?

Q. What is the purpose of medical expenses borne by insurers?

Q. How are medical expenses typically determined by insurers?

Q. What do claim expenses for insurers typically include?

Q. In what situations are claims considered not genuine?

Q. Why do insurers exercise caution in designing various documents?

Q. What does the equation E = FE + RE represent in the context of insurance expenses?

Q. How can the cost of benefit be calculated in insurance terms?

Q. Why are insurers often reluctant to sell smaller premium policies?

Q. What factors do insurers consider when determining the minimum and optimum size of a policy?

Q. How does the design of an insurance product affect the expected volume of business?

Q. What impact does the size of population eligible to buy have on insurance sales?

Q. How does an insurer's past track record in providing services impact sales?

Q. Which of the following regulations were issued by the regulator in India in the year 2013?

Q. How are participating products classified in terms of bonus accruals?

Q. Which of the following is NOT a category under Non-linked variable insurance?

Q. What is the significance of the regulations regarding product pricing?

Q. What type of products fall under variable insurance products?

Q. How are non-linked variable insurance products different from linked variable insurance products?

Q. What is the minimum frequency for the accrual of additional interest rates or bonus?

Recommended Subjects

Are you eager to expand your knowledge beyond IC 92 Actuarial Aspects of Product Development? 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!