Which of the Following Statements Is True

Multiple Choice

Which of the following statements is true?

A) Policy liabilities are a liability item for insurers that reflects their worst-case payment commitments on existing policy contracts.
B) Policy liabilities are an asset item for insurers that reflects their best-case payment inflows on existing policy contracts.
C) Policy liabilities are an asset item for insurers that reflects their expected payment inflows on existing policy contracts.
D) Policy liabilities are a liability item for insurers that reflects their expected payment commitments on existing policy contracts.