All of the following are arguments in favor of using an applicant's credit record in personal lines underwriting EXCEPT
A) Most consumers have good credit records and benefit when credit history is used as a rating factor.
B) Use of credit data in underwriting and rating eliminates price discrimination against minority groups when they purchase insurance.
C) Underwriting and rating may be more consistent if applicants' credit histories are considered.
D) There is high correlation between an applicant's credit record and future claims experience.
Answer: B
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Companies that use social media can offer some type of discount or special promotion to fans
Indicate whether the statement is true or false
Within the final report, the ________ may include backup data or details of analysis that would allow others to follow up if they wish.
Fill in the blank(s) with the appropriate word(s).
Jeremey is a partner in the Jimmy partnership. Why does he need to know his basis in his partnership interest?
What will be an ideal response?
A limited liability partnership:
a. Has ownership interests that cannot be transferred b. Protects the partners from liability for the debts of the partnership c. Must pay taxes on its income d. Requires no formal steps for its creation e. Permits a limited number of partners