Why is a large number of exposure units generally required for a risk to be insurable?

A) It allows the insurer to accurately predict the aggregate dollar amount of loss.
B) It allows for at least some losses to occur.
C) It reduces speculative risk.
D) It reduces both the speculative risk and pure risk.


A

Business

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Fill in the blank(s) with the appropriate word(s).

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Indicate whether the statement is true or false

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