Actuarial Notes

Exam DISC-RM Practice Question 207

Study guide: Exam DISC-RM

A commercial account's manual premium is $18,000. The insurer's guideline lets a line underwriter apply schedule credits or debits of up to 25%, and requires referral for anything more. The underwriter believes the account's housekeeping and safety program justify a 30% credit. What is the lowest premium the underwriter can quote without a referral?

  • A) $12,600
  • B) $13,500
  • C) $18,000
  • D) $23,400

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