course hero which of the following is an insurance coverage that is required by law in most states

How many terms are there in the CH2 of insurance?

Ch.2:Nature of Insurance, Risk, Perils and Hazards 19 terms Jgao1234 Other sets by this creator Pre-Licensing Insurance Course Chapter 19 (Part 3) 116 terms cniles2013 Pre-Licensing Insurance Course Chapter 19 (Part 2) 120 terms cniles2013 Pre-Licensing Insurance Course Chapter 19 (Part 1) 120 terms cniles2013

How to start studying pre-licensing insurance course?

Start studying Pre-Licensing Insurance Course Chapter 1. Learn vocabulary, terms, and more with flashcards, games, and other study tools. Home Subjects Explanations Create Study sets, textbooks, questions

What are the two types of required insurance coverage for no-fault?

What are the two types of required insurance coverage to comply with Florida's No-Fault Law? The two required forms of insurance coverage that comply with Florida’s No-Fault Law are personal injury protection (PIP) and property damage liability (PDL).

What is an example of a moral hazard in insurance?

An insured who attempts to defraud the insurer in order to make a profit from policy benefits is an example of a moral hazard. a. An insured's careless attitude or lack of responsibility

Why do insurance companies use the law of large numbers?

b. The law of large numbers states that larger groups provide better loss predictions.

What does it mean when an insured doesn't wear a seat belt?

An insured that doesn't wear a seat belt and drives above the speed limit, believing that if he gets in a car accident, his insurance policy will cover the cost of any damages to his car, or medical bills. d. An insured who intentionally slips and falls on the floor in order to receive disability income benefits. d.

What is the difference between risk and loss?

a. Risk is the cause of loss and event insured against, whereas loss is the condition of being prone to exposure because of a hazard. b. Risk is the potential of loss, whereas loss is the unintentional decrease in value of an asset due to a peril.

What does "poorer than average risks" mean?

It states that poorer than average risks usually seek out insurance. c. It states that an insurer taking on too many risks will incur catastrophic losses. d. It states that as a group's size increases, it is easier to predict the number of future losses over a specific time period.