Part I: True or False: (2.5 marks, 0.5 each) alo's A1, A2&CI) 1. A business firm is allowed to insure the life of its CEO if a pecuniary interest is proven to the insurer (T/F) 2. Excluding damages resulting from storms in a homeowner's insurance policy is an example of excluded perils. (T/F) 3. If an insurance company reports a loss ratio of 78%, it means that they did not charge sufficient premiums. (T/F) 4. Actuaries are always certain that the premiums collected will be sufficient to pay all of the insurance company's losses and expenses. (T/F) 5. The availability of reinsurance increases the insurers underwriting capacity (T/F) Part II: Multiple choice (2.5 mark, 0.5 each) ILO's: A2, B1 & 2 1. In an insurance contract, you can expect to find the name of the insured, value of coverage, period of protection and premium amount in the; a. Declarations page b. Insuring agreement c. Conditions section d. Definitions sections