The insurance company Helmet is considering acquiring BeSafe, a life insurance company. According to BeSafe’s most recent financial statements, its loss ratio stands at 0.9, and its expense ratio stands at 0.5. Based on this information, answer the following questions:

a. Explain what the loss ratio of 0.9 means. 

b. Explain what the expense ratio of 0.5 means.

c. Would you recommend this acquisition to Helmet? Why or why not?