Risk Management And Insurance

1- Most consist of buyers and sellers. The chapter suggests that the insurance market has three participants. Who the third participants, and what is its role in the market?

2- Describe the important factors to consider when choosing an insurance company?

3- How does the pricing of an insurance policy for an insurer differ from a bologna manufacturer's pricing its product? Why does the difference in pricing problems require that insurance pricing be subject to regulation?

4- Describe the main methods for regulation the investment activities of insurers.

5- Describe one difference between life insurance and property insurance in the requirement for insurable interest.

6- Explain the advantages of the incontestable clause in life insurance from society's standpoint.

Case #4

Describe the two most recent new releases on the NAIC Web site: (http://www.naic.org/).