Multiple Choice
In the loss ratio method of rate making, if the actual loss ratio is 50 percent, but the expected loss ratio is 60 percent, the future rate charged would be
A) increased 10 percent,
B) decreased 10 percent,
C) increased 20 percent,
D) decreased 16.66 percent,
E) decreased 20 percent.
Correct Answer:
Verified
Correct Answer:
Verified
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