Which of the insurance lines listed below will be charged a higher premium by insurance companies and

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Which of the insurance lines listed below will be charged a higher premium by insurance companies and why?
a. Low-severity, high-frequency lines versus high-severity, low-frequency lines.
b. Long-tail versus short- tail lines.

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Financial Markets and Institutions

ISBN: 978-0077861667

6th edition

Authors: Anthony Saunders, Marcia Cornett

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Question Posted: Jan 27, 2015 08:41 AM

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Which of the insurance lines listed below will be charged a higher premium by insurance companies and

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a b Insurance companies have a more difficult time predicting the severity o...View the full answer

Financial Markets and Institutions

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