A Japanese insurer is concerned with the positive correlation in losses resulting from earthquakes, while a U.S. insurer is concerned with the positively correlated losses from Hurricanes. Both insurers can buy reinsurance to ________ Increase the independence of the exposures in their risk pools Diversify their investment portfolio Learn from each other’s experience Share with each other underwriting profits

Q: What may be the case of public finance during national pandemic

A: Public finance is analysing the government activities done for the economy. It includes government…

Q: IDENTIFY THE EFFECT OF THE FOLLOWING TRANSACTION TO THE RISK OF MATERIAL MISSTATEMENT TO FINANCIAL…

A: Risk of material misstatement can defined as "the risk that the financial statements are materially…

Q: The policies in the states of USA to protect high school athletes from heat illness.

A: The given statement is True...... The policies in the states of USA to protect high school athletes…

Q: Decide the case

A: Given case is: A barge belonging to the Luzon Stevedoring Corporation, while passing under the…

Q: Is disaster insurance unfair to insurance companies ? Explain your answer and provide an example.

A: Disaster Insurance The meaning of disaster insurance is is different from the life insurance which…

Q: Some of the responses by governments to slow down the pandemic have had a negative impact on the tax…

A: Tax revenue is the revenue to the government, the government of any country gets the revenue by way…

Q: When investing in a natural resource project, a mining firm can add value to the project by a.…

A: adding value to the project  means making g it feasible  to do and generating more  revenue  and…

Q: The probability of losing investment in a foreign country is known as: O confiscation O political…

A: Investment made in foreign countries outside jurisdiction of domestic country is subject to risk.

Q: Describe how an unrelated tenant in common or joint tenant should protect him- or herself from…

A: Please find the answer to the above question below:

Q: How has the Fed has become the lender of the first resort in dealing with the pandemic?

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A: Under moral hazard party doesn't enter the contract under good faith

Q: Eden Orchards, the insured under a policy with Farm Insurance LLC, files a claim for a covered loss.…

A: Answer

Q: In the early 1990s, New Jersey and Pennsylvania reformed their automobile insurance systems so that…

A: As explicit  within the question New Jersey adopted no fault approach to insurance of automobile as…

Q: Quality Health Care in the U. S. In his inauguration address, U. S. President Barack Obama mentioned…

A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS    2. health care metrics Global expenditure on…

Q: What is a mortgage-backed security (MBS)? Why is it difficult for ratings agencies to determine the…

A: Introduction: Mortgage is nothing but an instrument of debt that the creditor is obliged to pay off…

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A: Yes, i strongly believe that cultural similarities among people can out weight cultural differences…

Q: Moral hazard is mostly a problem in countries with universal insurance programs like the United…

A: Moral hazard is a an example of risk which arises when one of the parties involved in a contract…

Q: What was the main purpose of the Troubled Asset Relief Program (TARP)?   A. Sell risky assets to…

A: TARP It is a U.S government program to buy an asset whose value has a major fall and is not…

Q: A's cargo ship base was punctured due to rats and so sea water entered and cargo was damaged. Here…

A: Answer :-                                Yes in the given scenario B must paay…

Q: Amina, a potential client, approached the Islamic bank to obtain financing so that she could buy a…

A: Islamic Bank:  Financial or banking activities that follow Shariah are referred to as Islamic…

Q: ich of the following was part of the U.S. government’s response to the credit crisis? a) Troubled…

A: Basic Concepts of Accounts and business

Q: Which of the following is a type of international insurance?  Bond insurance        Export credit…

A: International insurance is that insurance which provides coverage for people who are travelling…

Q: In order to boost revenue, the US post office is selling a new product called “Forever Stamp”.…

A: Step 1 When the government provides the public services or products for consideration, it will…

Q: a. Explain the difference between equity and efficiency. b. Critically discuss the principles of…

A: a) Equity Vs Efficiency  Any company or country would be proud to uphold the values of efficiency…

Q: P has rendered construction services for M. M is currently illiquid due to the effects of the…

A: a bill of exchange is definedas an instrument in writing containing an unconditional order, signed…

Q: At one time, it was felt that liability insurance would undermine the tort system, which has as its…

A: Liability insurance is essential for individuals who are accountable and at fault for the injuries…

Q: Mary Mari from Ghana needs your help with the following question: What would happen to Ghana or any…

A: The financial institution plays a vital in an economy. They are the business entities that are…

Q: Which of the following is not a source of international economic law?

A: You have asked various question and among the questions there are business law questions as well…

Q: A comprehensive general liability policy includes property damage coverage for which of the…

A: A comprehensive general liability insurance policy is the combination of coverages for public…

Q: An insurance company has offered to insure an individual’s automobile through an affiliated company…

A: Insurance premium can not be set based on income, race, religion, nationality.  Insurance score are…

Q: As a future investor, do you think it is safe to invest knowing that global health crisis is still…

A: The potential economic impact of COVID-19 has diminished significantly. But with the waning of…

Q: (Based on Appendix 12A) Whole-life insurance policies typically can be surrendered while the insured…

A: Cash surrender value: Companies purchase whole-life insurance policies on the lives of the key…

Q: The history of broking insurance in Nigeria

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Q: What would happen to a country standard of living if people lost faith in the safety of the…

A: Introduction : In simple words, financial institutions refers to the entities such as banks and…

Q: What may be the case of public finance during national pandemic and international pandemic?

A: Public finance can be defined as the management of activities associated with revenue, expenditure,…

Q: While comparing the performance of all the affiliates of an American Multinational company, the CEO…

A: When a company has one or more subsidiaries in a foreign country that uses different currency, the…

Q: banker's acceptance is: a. a time draft drawn on the exporter's bank. b. a method to help importers…

A: Banker acceptance is used in export and import it time credit given by import bank to importer

Classification Of Risk

Risk means when there could be a possibility that the returns expected from a particular project or investment may or may not match the investor's expectations. In other words, the uncertainty of an income arising from a source that would either be lower than expected or result in losses in risk exposure of the project. The higher the risk involved, the higher is the return expected by the investor as the investor is exposed to a high level of risk. There are various methods by which different types of risk can be assessed and avoided or mitigated.