Exam DISC-RM Practice Question 54
Study guide: Exam DISC-RM
Determine which of the following statements about the property-casualty insurance marketplace are true.
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I. A property-casualty insurer must set its price before it knows what the losses on the policy will cost.
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II. Because most states regulate property-casualty rates, the underwriting cycle does not affect property-casualty prices.
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III. In a hard market, after losses exceed expectations, insurers' capacity falls and prices rise.
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A) I only
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B) I and II only
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C) I and III only
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D) I, II and III
Answer this question and see the worked solution