Question

What is the primary driver of stamp duty expense in insurance?

a.

Number of new policies

b.

Inforce premium

c.

Sum assured

d.

Investment fund

Answer: (c).Sum assured Explanation:Stamp duty expense in insurance is primarily driven by the sum assured and is represented 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. What is the primary driver of stamp duty expense in insurance?

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. Which type of expense is typically represented as an amount per policy?

Q. Which expense assumption is typically represented as a percentage of the investment fund?

Q. What factors are considered in choosing expense assumptions for insurance products?

Q. What is the primary purpose of the capital brought in by the promoters of an insurer?

Q. How does the scale of operation impact the use of capital in insurance business?

Q. What factors does the insurer typically consider when conducting a market survey?

Q. How does the size of the market influence the capital requirement for an insurance business?

Q. How are expense rates determined in the insurance business?

Q. What types of products are considered when determining expense rates?

Q. What is considered when deriving expense parameter values?

Q. What may be done if the company has insufficient recent experience to provide meaningful results for expense determination?

Q. What should be considered in conjunction with expected new business volumes and expected inforce policies when deriving expense costs?

Q. What is one of the major factors considered in expense assumption?

Q. How does the nature and type of products influence expense assumption?

Q. What factors are considered in estimating expense assumption related to sales through distribution channels?

Q. How does the extent of expense risk impact profit?

Q. What technique is used for studying new product launches, new distribution channels, and new life insurance companies?

Q. How does a company's recent experience contribute to determining expense assumptions?

Q. Why is infrastructure considered a major input for expense modeling?

Q. How does insurance legislation affect expense estimation?

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!