Insurance

Numerical Rating System This system is based upon the principle that a large number of factors enter into the composition of a risk and that…

Judgmental Method System of Evaluating Risk The Judgment Method: Under this method, the individual decisions of experienced persons, in the medical, actuarial, underwriting and other…

Problems of Insurance Business in Developing Countries The complex government regulatory keeps on fluctuating every now and then, and it adversely affects the insurance industry.…

Different Types of Merit Rating The third principal type of rating method in property and liability insurance is merit rating. Merit rating is a rating…

Objectives of Reinsurance Almost all insurance companies have a reinsurance program. The ultimate goal of that program is to reduce their exposure to loss by…

Important factors to be considered while marketing insurance products Insurance companies are in a unique position when it comes to marketing. They have no tangible…

Various Classes of Rating – Class rating is a type of manual rating that places similar consumers into the same underwriting category. The second type…

Differentiate between ‘Excess of loss’ and ‘Excess of loss ratio’ Excess of loss is a generic term describing reinsurance which, subject to a specified limit,…

Rating: Rating determining the amount of premium to be paid to insure or reinsure a risk. Example: The estimate of the size of the television…

Reinsurance occurs when multiple insurance companies share risk by purchasing insurance policies from other insurers to limit the total loss the original insurer would experience…