GK
INSURANCE AWARENESS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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A method of permitting the final premium for a risk to be adjusted, subject to an agreed-upon maximum and minimum limit based on actual loss experience is called ____
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Retention
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Retrocession
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Retrospective Rating
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None of the Above
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Explanation:
Detailed explanation-1: -Retrospective Premiums means any amounts due to or from a policyholder or insured or reinsured under a Policy, other than Losses or Allocated Loss Adjustment Expenses, based upon the claims or loss experience thereunder.
Detailed explanation-2: -A retroactive date, or retroactive insurance, is a feature of claims-made policies (professional liability or errors and omissions) that determines whether your policy will cover losses that occurred in the past.
There is 1 question to complete.