Q. What factors are considered in determining mortality or morbidity rates?

View solution

Q. How does the importance placed on mortality or morbidity rates depend on the product?

View solution

Q. What data sources can be used if a company or product has no historical experience?

View solution

Q. What factor influences the mortality experience of the insured population based on the target market for the contract?

View solution

Q. How does the type of product affect underwriting controls?

View solution

Q. What is the purpose of underwriting controls in the insurance industry?

View solution

Q. How does strict underwriting benefit customers?

View solution

Q. What additional benefit is gained with strict underwriting controls?

View solution

Q. What factor influences the decision on mortality rates used by insurers?

View solution

Q. Why is it important to assess the expected change in experience over time?

View solution

Q. How often are historical investigations typically conducted?

View solution

Q. Which type of insurance contract is considered to have higher mortality risk?

View solution

Q. Why are long-term policies considered riskier in terms of mortality rates?

View solution

Q. Why is the available mortality experience within the company or industry important for determining mortality rates?

View solution

Q. What role do reinsurer's rates play in determining mortality rates?

View solution

Q. Why is past experience of mortality rates in the economy important?

View solution

Q. How do overseas operations of an insurer impact the determination of mortality rates?

View solution

Q. What operational risk is associated with the acceptance of claims?

View solution

Q. What is the primary purpose of using a standard table for mortality rates?

View solution

Q. Why might a company adjust mortality rates from a standard table?

View solution