Question
a.
Because the reinsurance premium outflow is higher in the surplus method
b.
Because the reinsurance premium outflow is lower in the surplus method
c.
Because the surplus method offers more comprehensive coverage
d.
Because the surplus method involves less administrative burden for insurers
Posted under IC 92 Actuarial Aspects of Product Development
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Q. Why do insurers generally prefer the surplus method over the quota share method?
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