Actuarial Notes

CAS Exam 9 Spring 2014, Question 21

Study guide: Exam 9

Describe why allocation of surplus by state and line using premium-to-surplus ratios may be problematic for each of the following:

Part a (0.5 points)

i. An individual multi-line national insurer.

Part b (0.5 points)

ii. The insurance industry as a whole.

No current syllabus covers this question; it is kept for the record.

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Concepts tested

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